The market crisis sparked by the Covid-19 epidemic is set to “get worse before it gets better” over the coming months, with the S&P 500 dipping as low as 2,000, according to economists at Goldman Sachs — but “with luck” a recovery will start shortly thereafter.

In a note published on 29 March, Goldman strategists Zach Pandl and Kamakshya Trivedi predicted there will be “a few more weeks of winter” as governments and businesses grapple with the coronavirus outbreak. They rounded up forecasts from around the bank, such as a further leg down for equities in which the S&P 500 drops another 500 points; and 10-year US Treasury yields bottoming out at around 0.4%, from the current level of 0.72%.