The next 45 days are the ‘most critical period in U.S. financial history,’ says stock expert (trunc)

Market Watch ^ | 19 April 2020 | Mark DeCambre

[MeneMeneTekelUpharsin]

After recovering a chunk of the losses racked up during the worst of the coronavirus-induced selloff last month, the stock market finds itself at a crucial inflection point, writes Alan B Lancz. “The next 45 days may just become the most critical period in U.S. financial history,” he wrote in a newsletter published Wednesday. “While on average we may face a bear market every 10 years, this one is like no other,” he said.

The contrarian money manager, who is a disciple of famed investor Sir John Templeton, said that the timing and execution of the reawakening of the U.S. economy from its dormancy could be one of the biggest factors in determining how the market recovers from COVID-19, which has forced swaths of businesses to shut down to help stem the spread of the deadly contagion that has infected more than 2 million people and claimed 137,000 lives, according to data aggregated by Johns Hopkins University as of Wednesday evening.

And even if the economic revival is executed flawlessly, the founder of the eponymous Toledo, Ohio-based investment advisory firm said the result will be a so-called U-shaped recovery, where a rebound in business and consumer activity from pre-crisis levels will be long and slow. “Even if we execute properly, the recovery will take time and a best-case scenario is a ‘U’ shaped recovery,” he wrote. “The much talked about ‘V’ shaped recovery is no longer in the equation because of the unprecedented combination of negatives with this crisis,” he said, referring to hope for a recovery that is sharp and fast.

[existentially_kuffer]

How I tire of doom & gloom so-called experts.

[fhayek]

Markets cease to matter when the government constantly bails them out. I hate to lose money as much as the next guy, but, as one fund manager put it, all you have to do now is buy what the Fed is buying.

[PeterPrinciple]

Markets cease to matter when the government constantly bails them out. I hate to lose money as much as the next guy, but, as one fund manager put it, all you have to do now is buy what the Fed is buying.

---

Reminds me of what I used to tell my farmers:

The only mgt decision you can make is what color paint in on your equipment.

[WildHighlander57]

Thanks for the info; looking into that book...

Captain7seas wrote:

“Mikovits sure knew of what she speaks with this assessment:

Dr. Judy Mikovits, in her second book has this to say about the great Dr. Fauci:

“There are three people I place ...in the “Unholy Trinity of Science” Harold Varmus, Francis Collins and Tony Fauci. Whenever you ask yourself why the truth hasn’t been told in a critical area of public health, youl’ll probably find the fingerprints of these men at the crime scene”. - “PLAGUE OF CORRUPTION” Dr. Judy Mikovits, pg 41.”

[LibsRJerks]

Nope. They just raised them here in Loudoun County, Virginia, a county outside of Washington, DC. Had to fund their gargantuan schools and special projects. During the pandemic, they raised property taxes.

[PGR88]

What kind of recovery will it be - a V, U, W, L, or, worst of all, I?

[grey_whiskers]

I believe that she is stupid enough to try it, but I don't know yet if she has done it.

If she has, Trump re-tweets.

Easy Peasy.

[moviefan8]

Democrats want the economy to go down. They do not care about the people. They never have cared. They hate Trump and will do anything to destroy him.

[NELSON111]

Three months ago-the condenses here on FR was “abolish the FED!” Well-I would imagine that every single one of those FED bashers are thankful the FED was there with its multiple TRILLIONS to bail out there 401ks. If it wasn’t for them-the markets would have never been at 29k to begin with-and they’d be under 10 right now.

[Vendome]

Hmmm...we gotta save lives even if it kills us...and the country.

Are other countries doing this?

[Vince Ferrer]

The stock market may not have a V shaped recovery, but the job market will, even if the restaurants don’t recover. The coronavirus has exposed the dark side of relying on China, and everything China critics have been saying for years has come true. Companies now should be desperate to get out of there, and we now have tens of millions of unemployed people here to build and run these production lines here. It will temporarily hurt the bottom lines of companies to have to spend the money to do this, but the money spent will go directly towards hiring the people here to get it done.