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Billionaire investor Leon Cooperman calls a market bottom on coronavirus fears

Billionaire investor Leon Cooperman tells CNBC's "Squawk Box" that he believes the stock market has bottomed on coronavirus fears.

Stocks fell sharply on Friday, giving back some of the strong gains experienced in the previous three days to cap off another volatile week on Wall Street.

Sentiment took a hit as investors focused back on the coronavirus outbreak as the U.S. became the country with the most confirmed cases.

The Dow Jones Industrial Average dropped 916 points, or 4%. The S&P 500 slid 3.6% along with the Nasdaq Composite.

Boeing dropped more than 10% to lead the Dow lower. Disney and Exxon Mobil each fell more than 6%. Energy and industrial s were the worst-performing sectors in the S&P 500 as they dropped 5.7% and 4.6%, respectively.

The Dow rallied more than 6% Thursday to post its biggest three-day gain since 1931. From Monday’s close through the end of Thursday’s session, the Dow was up more than 20%. The S&P 500 also rallied more than 6% and was up over 20% since Monday’s close as well.

“We believe medium-term risks are skewed to the downside after this rally,” Maneesh Deshpande, Barclays’ chief U.S. equity strategist, said in a note on Friday. “Two other uncertainties facing investors (the length of the economic quarantine required to contain the virus and the ultimate economic damage) remain unresolved.”

“Bear market ‘head-fake’ rallies are not uncommon,” Deshpande added. The bear runs that began in 2000 and 2007 both had head fakes of more than 20% before ending, Barclays data shows. The biggest bear market head fake came during the bear market that started in 1937, when stocks rallied more than 60% before falling again.

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