Meanwhile, the Shanghai Composite is back up to pre-coronavirus levels.
I don’t recall a massive selloff during Swine Flu or Ebola scare. Could that be because Obama was in the office at the time?
Monday quite a few people were excited because they thought an up day meant the virus & the resulting economic fallout was all over and behind us.
I didn’t have the heart to explain what’s called a “deadcat bounce” and that the bad news will keep coming for likely months. One day filled with hope, albeit totally false, was probably a nice respite for many.
Yes Coronovirus is real and deadly in China. Although the hysteria in the media is causing the mass sell off.
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If it’s really only just a media hoax, the economy will bounce back as soon as the first signs show such. There are a ton of investors watching like a hawk for the first clue that the virus isn’t going to spiral into a large scale community spread, they’re going to buy back in hard.
Actually, the ‘hysteria’ is triggered by the lockdown and shutdown of China, and spread of those actions to other countries now (including its upcoming arrival on US shores). Along with the near-complete shutdown of the travel industry, probably for a couple of years (5 years for the cruise business).
But I am optimistic, I think we’ll hit a floor at 10,000 for the Dow, once this all gets priced-in.
No doubt the demodrone contestants will blame PDJT for this.
1. You probably won’t get Covid-19
2. You COULD get Covid-19 and you’ll survive.
3. You COULD get Covid-19 and die from it.
Stock market isn’t the economy
Wake me up when GDP growth drops
mass layoffs
consumer confidence drops
You know, the real economic indicators
It’s what they did to Dubya just before the 2008 election to ensure that Zero got elected, but they overdid it a bit.
The job numbers out this week are again spectacular with 273,000 new jobs added and unemployment at 3.5%. No, the economy is not tanking. It’s the Deep State and their Wall Street financier puppets trying to sink it because that’s all they have left in their desperate attempt to defeat Trump in November!
How long until BAILOUT talk starts?
The money machine manipulators should quarantine Vega$. Shut it down. I heard from a friend who just came back and saw a lot of Orientals there. One of them sounded like he sneezed. My friend is OK so far. Thanks for asking.
Propagandists of the world UNITE! Or is it Bourgeois Socialists of the world UNITE! I forgot, Bern. Help me out here, old man.
Oil just collapsed - I’m in the money !
The stock market was getting speculative and due for a correction. When this happens, anything can set it off, and the politicians will blame it on their pet peeves. Due to White House pressure for low interest rates, the Fed can’t help because interest rates for bonds have become negative.
World War 2 had less of an impact on the market compared to this virus.
Otherwise, there is a ton of institutional trading going on, along with program trading. Traders are making money going up and going down. On a micro-level this is one trader vs. another, trying to outwit each other to make a profit. Think of it as current flowing back and forth. Traders are loving this volatility. There will always be winners and losers.
Traders are using any excuse to drive prices up and down, since there is money to be had in both directions. For those that do not like this because you are stuck in equities, learn to trade options and futures. Be conservative, cover your futures with options. Do not trade bare. Institutional traders don't. Trade in both directions.
Buy low sell high here’s your chance.
The plunge protection team played Russian roulette? Nobody left?