Posted on 02/25/2020 11:33:06 AM PST by Zhang Fei
The COVID-19 illness has not become a global pandemic, according to the World Health Organization, but it’s starting to act like an economic one. And the financial costs are mounting.
Near-panic over a spreading coronavirus sheared more than 1,000 points off the Dow Jones Industrial Average DJIA, -3.12% on Monday, with more and more companies having followed in Apple’s AAPL, -2.78% footsteps by warning of lower sales and supply disruptions that could cause even more damage in the next few months.
Just a few weeks ago, most economic forecasters were predicting a small impact from the viral outbreak in China. Since then the virus has made its way to South Korea, Italy and other countries, raising the prospect that it will spread worldwide.
The U.S. economy has been shielded from direct impacts of the virus, but the side effects are becoming more evident each day. Declining travel. Fewer foreign tourists. Supply bottlenecks for automobile makers and tech companies. The closure in China of popular American retail chain stores such as Starbucks SBUX, -3.01% and McDonald’s MCD, -0.65% . And so on.
Goldman Sachs on Monday raised its estimate of the economic damage to the U.S. for the third time in as many weeks. The bank now predicts the virus will shave eight-tenths of a percentage point from U.S. growth in the first quarter — double its original estimate. That’s a fairly big chunk of growth.
The truth, of course, is that no one really knows how much the disease will cost, especially if most countries that encounter the virus take the same steps as China in quarantining millions of people and shutting down large parts of their economies. The globe hasn’t suffered from a true pandemic since the Spanish flu in 1918 swept the world and killed up to an
(Excerpt) Read more at marketwatch.com ...
There is only one solution -vote Democrat!
I clicked the link.
That was the most annoying noise I’ve heard in ages. I skipped around, looking for it to improve. Gave up after 30 seconds.
No accounting for taste, I guess.
Media hysterics? Interesting. All I hear on media is maybe a 30 second synopsis of this soon to be pandemic that has erupted in multiple countries, with a death toll higher than the last sars pandemic.
Those who aren’t prepared are the foolish ones.
So far deaths not as high as the flu. So far much more contagious than the flu. So far our beloved CDC isn’t testing cases in the USA that haven’t come from overseas. So far many thousands quarantined, although “voluntary” and more to come.
You can call me foolish for gleaning info from different avenues on this virus, I’ll call ya stupid for not being prepared IF this becomes a tragic situation at home.
Now back to your complaining about losing a bit of money in the market.
The flu is far more deadly.
I’ll get back to you when I care about the tastes of a smart-ass.
The Prez says it’s contained in the USA. CDC gave tips on preparing for the possibility. WHO says it to soon to tell. Mean while Delta, Canadian Air lines suspended flights to China till mid April. On and on and on.... So much uncertainty so little time.
GDP by definition is “domestic”.
Oh, my.
First, nobody believes China’s official numbers are anyway near accurate.
Second, this is believed to have 20 times the mortality rate of the flu.
Third, this appears to be much more contagious and much less easily stopped than the flu.
Fourth, there is no vaccine at this point for this.
Fifth, it apparently has characteristics such as being able to catch it again, with the second time being more sever, and many people being asymptomatic for weeks before symptoms arise.
Douglas Adams - So Long, and Thanks for All the Fish
Buy $SPXS
$14.00 now... in February 2009 it was $11,000.00+
The poor man’s ‘Big Short’.
Up over $1.00/share yesterday...
Up over $1.00/share today...
I hope things get better.
Hope for the best, prepare for the worst.
https://www.marketwatch.com/investing/fund/spxs
.
The jackasses who spin propaganda at Marketwatch have zero credibility for me.
I’m so scared. /s
coronovisus in the us isn’t at 3-4% death rate- death rate from flu last year was 80,000- with an annual flu death rate average of 61,000, that is a rate of 2% death rate- not sure what 80,000 deaths would work out to- but more than 2%
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