Announcement

Collapse
No announcement yet.

Markets Hover Near Records Despite Growing Coronavirus Outbreak

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Markets Hover Near Records Despite Growing Coronavirus Outbreak

    Markets Hover Near Records Despite Growing Coronavirus Outbreak

    The coronavirus outbreak has closed factories, curbed spending and disrupted supply chains in the world's second-largest economy. But U.S. stocks have held close to records.


    The market's resilience has surprised many money managers, especially given how quickly the epidemic has spread and how difficult they say it has been to assess the accuracy of information coming out of ...

    URL: https://icux.xyz/xtdY6v

  • #2


    Worries are growing that the economic impact from the novel coronavirus outbreak will be worse than expected and that markets are being too complacent in factoring it in as a risk.
    What's happening: The number of confirmed cases has already far outpaced expectations and even those reports are being viewed through a lens of suspicion that the Chinese government is underreporting the figures.

    • Yet, U.S. stock indexes have continued to hit all-time highs, bond spreads remain compressed, and even some Asian bourses have recouped losses that followed the initial coronavirus headlines.


    Driving the news:
    • Apple was the latest, saying Monday it would not meet quarterly revenue expectations due to limited iPhone production and Chinese demand.

    What they're saying:writes in a note. "The cognitive dissonance in the credit market is stunning."

    He's not alone: "The ramp up in China will take much longer than many expect because of the need to prevent a secondary flare up in contagion," Diane Swonk, chief economist at Grant Thornton, said on Twitter.


    The state of play: "By most estimates, if the Chinese extend the lunar new year by two weeks it would not meaningfully impact the global supply chain, but if it went beyond two weeks then we would start to see problems for materials and consumer goods outside of China," Minerd argues.

    Between the lines: It's been about two weeks and things don't look great.

    • Hong Kong, already coping with the economic damage from its months-long protests, now is facing wide-ranging shortages of basic household and cooking supplies.
    • High-tech industrial parks in Chinese manufacturing hubs like Shenzhen have just reopened but are facing a "severe" worker shortage, as many are stuck in their hometowns and factories remain idle.


    Details:
    Minerd predicts that the "impact of all this on corporate profits and free cash flow will be dramatic," warning that China's first quarter GDP could fall as low as -6% annualized in the first quarter and oil could drop to $25 a barrel.

    The bottom line:
    "We are either moving into a completely new paradigm, or the speculative energy in the market is incredibly out of control," Minerd says.

    "I think it is the latter. I have said before that we have entered the silly season, but I stand corrected. We are in the ludicrous season.": https://www.axios.com/coronavirus-gl...213d28824.html
    Keep your friends close and your enemies closer

    Comment


    • #3
      Originally posted by gp7788 View Post
      Markets Hover Near Records Despite Growing Coronavirus Outbreak

      URL: https://icux.xyz/xtdY6v
      An update.........

      Coronavirus first reported from Wuhan, China, on 31 December 2019 and the DOW was at 28,868.80 the next working day (Jan. 2nd 2020)


      today the Dow is at 27,236.68 and still falling.

      Originally posted by S Landreth View Post

      Details:
      Minerd predicts that the "impact of all this on corporate profits and free cash flow will be dramatic," warning that China's first quarter GDP could fall as low as -6% annualized in the first quarter and oil could drop to $25 a barrel.

      The bottom line:
      "We are either moving into a completely new paradigm, or the speculative energy in the market is incredibly out of control," Minerd says.

      "I think it is the latter. I have said before that we have entered the silly season, but I stand corrected. We are in the ludicrous season.": https://www.axios.com/coronavirus-gl...213d28824.html
      Keep your friends close and your enemies closer

      Comment


      • #4
        nd the market was at 28.868.80


        11:00am today 26,419.18


        Originally posted by gp7788 View Post
        Markets Hover Near Records Despite Growing Coronavirus Outbreak
        putz
        Keep your friends close and your enemies closer

        Comment


        • #5
          Methinks the OP doth protesteth too soon.

          Comment


          • #6
            ^I just checked and the market is down 1,190.00 plus (one day) now.
            Keep your friends close and your enemies closer

            Comment

            antalya escort
            antalya escort
            hdredtube sxe video rettube video sex abg xxxs
            antalya escort bayan
            Working...
            X