Posted on 01/31/2020 10:21:39 AM PST by Perseverando
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The Dow Jones Industrial Average is down more than 500 points as investors finally decide to start worrying about the spread of Chinas coronavirus and the implications for the global economy.
The Dow has dropped 511.80 points, or 1.8%, to 28,347.64, while the S&P 500 has fallen 1.4% to 3239.05. The Nasdaq Composite is off 1.3% at 9175.40.
The coronavirus is spreading. According to Johns Hopkins, which has a website dedicate to the virus, 9,776 cases of coronavirus have been confirmed, with 213 total deaths. Most of the cases are still in China, but it has spread to 22 other countries, and theres no telling whether the number of cases outside China will explode. The market is clearly saying that the risks posed by the virus arent in the past just yet.
The market knows that growth in China and Asia will be hit. Markets in China are closed for the Lunar New Year, but trading in ETFs dedicated to the country continues, and theyre getting hit hard. The iShares China Large-Cap ETF (FXI) has dropped 6.2% this week, while the iShares MSCI China ETF (MCHI) is off 5.6%.
U.S. stocks, however, have been a calm in the storm, and its no longer clear thats deserved. Yet even with todays losses the Dow is down just 1.7% this week, while the S&P 500 is off 1.5%.
Or maybe its just another buying opportunity, as so many pullbacks have been during this bull market. One month after the WHO has announced a global health crisis, the S&P 500 has traded higher seven out of eleven times and higher eleven out of eleven times three months later, writes Tigress Financials Ivan Feinseth. I continue to say that the current coronavirus related selloff is a buying
(Excerpt) Read more at barrons.com ...
Guess I'd better rehearse "Would you like fries with that?" /sarc
Just another day at the zoo aka ‘the market’ that has become jammed full of packs of analysts&advisors stirring it up and making money doing it.
You have nothing to panic over but panic itself. :-)
The market has been dropping all week, and Barron’s just noticed? Really?
Ben, go back to sleep.
on noes we are doomed.. time to buy..... btw I bought a nice chunk of Amazon stock Monday..
The market is letting off steam.
Or the SP500 will bounce off the 50day EMA as the dip buyers take over.
I signed up for Amazon Prime the other day. Glad I could help you out.
Oh Darn I went short on the SP500 EFT.
Dontcha just hate this Kung Flu!
Best buying opportunity investors have had in a few months.
The China market has been closed sine the 23rd.
When they open Sunday night, what direction do you think its going to go?
Are you going to stand in front of that steamroller?
I’m going to be contrary. I’m not sure they’ll reopen their market that soon.
Maybe Monday afternoon. Not today.
You have nothing to panic over but panic itself. :-)
Approaching - Down 600.
No worries, mate. Holding a good bit of gold as insurance to offset days like today.
I think it is alot of 401k holders who got spooked and switched to bonds. That takes 72 hours and they cannot go back for 30 days or something like that.
That’s one interpretation. Or quarterlies are due and people are getting itchy. Or just random crap.
I think China is overreacting because their markets suck and so it wont do so much damage but it can affect ours.
They are trying to affect our markets because they know economy drives elections.... and they hate trump.
They are taking advantage of this now because it can hurt him.
Dont be fooled.
There are reports they have known about this virus for awhile but just now are publicly panicking over it.
I tend to agree with that. I wish them the best, but I'll wait and watch to see if they are able to open that soon.
My wifey holds a lot of gold, gems too..
Tesla is up a couple and Amazon took a leap after hours.. Fingers crossed.
I wonder if Amazon will deliver a Tesla to your door free if you’re a Prime member *-?
Of course nothing should be done before today’s close.
Of course nothing should be done before today’s close.
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