investmentwatchblog--2020-03-16--Nancy Pelosi Trying to play Politics with the Coronavirus bill

Nancy Pelosi doesn ’ t really care about American lives and tried to play politics with the Coronavirus bill .
@ @ @ @ @ reaction .

Nancy Pelosi doesn’t really care about American lives and tried to play politics with the Coronavirus bill. Check out Rep Matt Gaetz reaction.
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investmentwatchblog--2020-03-16--CHICK-FIL-A drive THROUGH IS ABOUT TO GET RIDICULOUS, DRIVE THROUGH ONLY

All others will follow suit im sure Chick-fil-A , Inc. @ ChickfilA In an effort to manage the evolving impact @ @ @ @ @ , we are temporarily closing our dining room seating to help limit person-to-person contact .
@ @ @ @ @ Ohio it ’ s no longer a choice .
All restaurants and bars were ordered @ @ @ @ @ last night .
As of today , they may provide CARRY-OUT or DELIVERY service only @

All others will follow suit im sure
Chick-fil-A, Inc.
@ChickfilA
In an effort to manage the evolving impact of coronavirus on our communities, we are temporarily closing our dining room seating to help limit person-to-person contact. Learn more:
In an effort to manage the evolving impact of coronavirus on our communities, we are temporarily closing our dining room seating to help limit person-to-person contact. Learn more: t.co/ydEgPsrFTm — Chick-fil-A, Inc. (@ChickfilA) March 16, 2020
Here in Ohio it’s no longer a choice.
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All restaurants and bars were ordered to be shut down effective last night.
As of today, they may provide CARRY-OUT or DELIVERY service only.
AC


investmentwatchblog--2020-03-16--UPDATE–Ohio and New Jersey: Curfews, Bars Ordered To Close, Take-out Only …

Escalating Quickly : Hoboken NJ Announces City-Wide Enforced Coronavirus Curfew – All Citizens Must Stay in Their Homes 10pm to 5am… [ ] Hoboken Mayor Ravinder Bhalla announced a citywide curfew will be in effect starting Monday .
The curfew also places major restrictions on bars and restaurants .
The curfew will be in effect from 10 p.m.- 5 a.m. starting on Monday , and until further notice .
Residents will be required to stay home , except for emergencies , or if needed at work by their employer .
As of 11 a.m. Sunday , bars that do not @ @ @ @ @ @ @ operate at all .
All other bars and restaurants are no longer permitted to serve food within the establishment , and can only sell takeout or delivery .
And Now Ohio Has Joined The Torch The Constitution Party !
COLUMBUS , Ohio –Gov .
Mike DeWine announced that all Ohio bars and restaurants are being ordered to close — except for carryout and delivery — at 9 p.m. Sunday .
“ What we can ’ t have is people congregating , and people who are sitting , ” he said .
“ So @ @ @ @ @ @ @ fine.
” DeWine said he was sympathetic toward small business owners and their employees , saying his family comes from a small-business background .
But he said that if the state doesn ’ t act now , an increased number of people will die .
He said people all over the state — including from the Cleveland area — sent him texts about people out on Sunday night .

Escalating Quickly: Hoboken NJ Announces City-Wide Enforced Coronavirus Curfew – All Citizens Must Stay in Their Homes 10pm to 5am…
[]Hoboken Mayor Ravinder Bhalla announced a citywide curfew will be in effect starting Monday. The curfew also places major restrictions on bars and restaurants.
The curfew will be in effect from 10 p.m.- 5 a.m. starting on Monday, and until further notice. Residents will be required to stay home, except for emergencies, or if needed at work by their employer.
As of 11 a.m. Sunday, bars that do not serve food will not be permitted to operate at all. All other bars and restaurants are no longer permitted to serve food within the establishment, and can only sell takeout or delivery .
abc7ny.com/health/coronavirus-second-death-reported-in-nj-teaneck-asked-to-self-quarantine/5987040/
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And Now Ohio Has Joined The Torch The Constitution Party!
COLUMBUS, Ohio –Gov. Mike DeWine announced that all Ohio bars and restaurants are being ordered to close — except for carryout and delivery — at 9 p.m. Sunday.
“What we can’t have is people congregating, and people who are sitting,” he said. “So carryout is fine. And delivery is fine.”
DeWine said he was sympathetic toward small business owners and their employees, saying his family comes from a small-business background. But he said that if the state doesn’t act now, an increased number of people will die.
He said people all over the state — including from the Cleveland area — sent him texts about people out on Sunday night.
www.cleveland.com/healthfit/2020/03/all-bars-restaurants-to-close-9-pm-sunday-due-to-coronavirus-carryout-still-allowed-ohio-gov-mike-dewines-sunday-briefing.html
h/t CrsCrpr


investmentwatchblog--2020-03-16--Updated table comparing the recent Dow Jones Stock Market moves with 1929

Date : ( 10 = October ) % = where that session closed in relation to the recent All Time @ @ @ @ @ = Market closed DOW closed at end of 1929 : -37 % Bottomed in 7/1932 @ @ @ @ @ Dow -40 % takes us back to Trump Presidential Election Victory Day level in November @


investmentwatchblog--2020-03-16--Jimmy Dore: Democrats Rig the Primaries, AOC Defends Party & Ignores Voter Suppression

This is about exit polls and the Dem primary .
AOC being called out as a fraud too .
Election Integrity , the Fed , and false flags are the biggest conspiracies that I know of .
Dear Bernie Sanders : Your campaign should immediately file a federal lawsuit seeking court intervention , investigation and oversight of the 2020 Democratic primary Dear Bernie Sanders : Are you aware of the fact sufficient evidence exists to substantiate a valid claim of election fraud occurring against your campaign specifically , drastically reducing your campaign ’ s final election results in those states @ @ @ @ @ @ @ at very high unacceptable levels of variance with the actual final election count ?
In this 2020 Democratic Primary massive election fraud has already occurred in nearly each state thus far , and will most likely continue throughout the remainder of the primary .
How do we know this ?
Because of exit polling discrepancies , that ’ s how .
A federal lawsuit should be filed immediately in each state where the final election results are at great variance with the exit polling data .
But what about right now , before @ @ @ @ @ @ @ should seek court-ordered paper ballots for each of the remaining states , if the court finds evidence election fraud may have occurred in the previous states .
There ’ s no need to rush this primary but damn good reason to seek an election free of criminals manipulating and cheating the American voter out of their vote .
We need paper ballots now and court-ordered independent election monitors to observe , record and deter election interference and fraud .
The evidence shows large , unacceptable levels of election negligence/fraud in voting machine operation @ @ @ @ @ @ @ thumbdrives and other devices/methods used to transmit machine tabulations and large exit polling data variance from the final election results , drastically reducing Bernie Sanders final election results in those states where such great variance took place .
Such great variance is not coincidence , but evidence of election fraud .
I believe a voter has a constitutional right to free and fair elections .
I believe sufficient evidence exists to substantiate a legitimate cause of action in a U.S. District court lawsuit seeking justice in this primary – which means seeking our @ @ @ @ @ @ @ election in this 2020 Democratic primary .
The Bernie Sanders campaign ( or We the People ) should file a federal lawsuit in each defective state to seek justice and fair results in this 2020 Democrat primary election .
What would justice look like ?
A U.S. District court judge could institute court oversight of a court investigation of election fraud claims and make findings of fact subsequent to the court appointing independent investigators to inspect all election materials , devices , documents , ballots , tabulations , software etc .
and reach @ @ @ @ @ @ @ the court adjusting the final election results or ordering a new election to be held again .
The court could direct a federal agency to interview all witnesses and election officials and workers involved in the processing of votes in those states , including Democrat Party officials state and national .
Here ’ s some of the evidence substantiating such a claim in a federal lawsuit : The evidence indicates the final election results do not match the exit polling data .
A variance of 1-3 % in the exit polling data has @ @ @ @ @ @ @ , worldwide and nationally .
In this 2020 Democratic primary the exit polling variance is upwards of 3 % , 8 % and much higher depending upon which state .
The evidence exists proving election fraud occurred in Super Tuesday ’ s elections and the first four states : tdmsresearch.com/2020/03/02/south-carolina-2020-democratic-party-primary/ More evidence of DNC rigged voting machines in SC , just like the 2016 primary and presidential elections in which Sanders and Trump were cheated .

This is about exit polls and the Dem primary. AOC being called out as a fraud too. Election Integrity, the Fed, and false flags are the biggest conspiracies that I know of.
Dear Bernie Sanders: Your campaign should immediately file a federal lawsuit seeking court intervention, investigation and oversight of the 2020 Democratic primary
Dear Bernie Sanders: Are you aware of the fact sufficient evidence exists to substantiate a valid claim of election fraud occurring against your campaign specifically, drastically reducing your campaign’s final election results in those states where the unadjusted exit polling data was at very high unacceptable levels of variance with the actual final election count?
In this 2020 Democratic Primary massive election fraud has already occurred in nearly each state thus far, and will most likely continue throughout the remainder of the primary. How do we know this? Because of exit polling discrepancies, that’s how.
A federal lawsuit should be filed immediately in each state where the final election results are at great variance with the exit polling data.
But what about right now, before the next set of states? Bernie should seek court-ordered paper ballots for each of the remaining states, if the court finds evidence election fraud may have occurred in the previous states. There’s no need to rush this primary but damn good reason to seek an election free of criminals manipulating and cheating the American voter out of their vote. We need paper ballots now and court-ordered independent election monitors to observe, record and deter election interference and fraud.
The evidence shows large, unacceptable levels of election negligence/fraud in voting machine operation (vote flipping) chain-of-custody issues regarding thumbdrives and other devices/methods used to transmit machine tabulations and large exit polling data variance from the final election results, drastically reducing Bernie Sanders final election results in those states where such great variance took place. Such great variance is not coincidence, but evidence of election fraud.
I believe a voter has a constitutional right to free and fair elections. I believe sufficient evidence exists to substantiate a legitimate cause of action in a U.S. District court lawsuit seeking justice in this primary – which means seeking our constitutional right to a free and fair election in this 2020 Democratic primary.
The Bernie Sanders campaign (or We the People) should file a federal lawsuit in each defective state to seek justice and fair results in this 2020 Democrat primary election. What would justice look like? A U.S. District court judge could institute court oversight of a court investigation of election fraud claims and make findings of fact subsequent to the court appointing independent investigators to inspect all election materials, devices, documents, ballots, tabulations, software etc. and reach some final conclusions which could result in the court adjusting the final election results or ordering a new election to be held again.
The court could direct a federal agency to interview all witnesses and election officials and workers involved in the processing of votes in those states, including Democrat Party officials state and national.
Here’s some of the evidence substantiating such a claim in a federal lawsuit:
Exit Polling Discrepancies
The evidence indicates the final election results do not match the exit polling data. A variance of 1-3% in the exit polling data has been deemed normal and acceptable for decades, worldwide and nationally. In this 2020 Democratic primary the exit polling variance is upwards of 3%, 8% and much higher depending upon which state.
The evidence exists proving election fraud occurred in Super Tuesday’s elections and the first four states:
tdmsresearch.com/2020/03/02/south-carolina-2020-democratic-party-primary/
More evidence of DNC rigged voting machines in SC, just like the 2016 primary and presidential elections in which Sanders and Trump were cheated.
Probability of Fraud= 99.2%
Prob=normdist (EP, RS, MoE/1.96, true)
RS = Biden recorded vote share
EP = Biden exit poll share
MoE = margin of error
Biden RS…. EP……Diff….MoE…Prob Fraud
SC… 48.4% 44.7% 3.7% 3.0%… 99.2%
richardcharnin.wordpress.com/2020/03/04/more-evidence-of-dnc-rigged-voting-machines-in-sc-just-like-the-2016-primary-and-presidential-elections/


investmentwatchblog--2020-03-16--Wake up. 1.5 Trillion Circuit Breaker is socialism for Wall Street scams. You get no test kit, you d

Wake up. 1.5 Trillion Circuit Breaker is socialism for Wall Street scams. You get no test kit, you don’t get a hospital bed. They get a bailout with no checks and balances.

The New York Fed said in a Thursday statement it will drastically increase the scale of its repurchase ( repo @ @ @ @ @ it buys Treasury bonds and other securities from banks and traders with an agreement to @ @ @ @ @ interest the following day or soon after .

The New York Fed said in a Thursday statement it will drastically increase the scale of its repurchase (repo) agreements, during which it buys Treasury bonds and other securities from banks and traders with an agreement to sell the product back with interest the following day or soon after.


investmentwatchblog--2020-03-16--Things are so bad even bears are hoping for a rally.

The plumbing behind world ’ s financial markets is creaking .
Loudly LONDON ( Reuters ) – The coronavirus panic @ @ @ @ @ with steep drops in major indexes grabbing the public ’ s attention .
But behind @ @ @ @ @ less understood and potentially more worrying evidence that stress is building to dangerous levels in @ @ @ @ @ system .

Things are so bad even bears are hoping for a rally. — Sven Henrich (@NorthmanTrader) March 16, 2020
With SPY trading down around 10% we are sitting near last weeks overnight lows around this level… let’s see what happens after futures open and then immediately freeze. t.co/yCrV7LlePl — THE LONG VIEW ⚫ (@HayekAndKeynes) March 16, 2020
The plumbing behind world’s financial markets is creaking. Loudly
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LONDON (Reuters) – The coronavirus panic is jolting stock markets, with steep drops in major indexes grabbing the public’s attention. But behind the scenes, there is less understood and potentially more worrying evidence that stress is building to dangerous levels in crucial arteries of the financial system.
Europe's Banks have collapsed 50% in less than a month to record lows. This sector has been obliterated, nobody will be able to recapitalize… and this is only the end of the beginning. pic.twitter.com/9Lezar5DXR — Rich Kleinbauer (@RMKOutFront) March 16, 2020
The second derivative matters: Latest Coronavirus numbers show great differences between countries. In Italy and Spain the number of new infections is not yet decreasing. (via DB) pic.twitter.com/IUo40foNCL — Holger Zschaepitz (@Schuldensuehner) March 16, 2020
March Empire Manufacturing Index fell by record 34.4 points to -21.5 vs. 4.9 est.; lowest since 2009; new orders fell to -9.3 vs. 22.1 prior; employment -1.5 vs. 6.6 prior; hours worked -10.6 vs. -1; 6m general conditions 1.2 vs. 22.9 prior — Liz Ann Sonders (@LizAnnSonders) March 16, 2020


investmentwatchblog--2020-03-16--The historic 7.5% short-squeeze on Friday close was one of the most memorable, amazing displays of m

The historic 7.5% short-squeeze on Friday close was one of the most memorable, amazing displays of markets’ abilities to out maneuver human psychology ever witnessed.

After bearish sentiment and fear began to grip the market with nearly unprecedented levels this week , and each failed rally on what would normally be described as colossal monetary intervention proved to be just a bump on the road toward complete oblivion , the Friday close began to show itself coming ever nearer .
With less than two hours left before the close of the week , markets and traders began to look nervous as if they were going to rollover and puke again from the lack of availability of dramamine at drugstores .
Trump ’ s to speak @ @ @ @ @ @ @ of emergency for the coronavirus that has brought the world to a state of panic .
Here he goes , he ’ s at the podium.. markets start to tank again .
S & P down over 2 % since he started talking 3 minutes ago .
Everybody who ’ s short the market starts to feel like winners , and they all start believing in their abilities to outsmart the madness of crowds and forecast market events on multiple timescales .
Just as soon as the last holdouts FOMO their bearish positions @ @ @ @ @ @ @ the shorts add to their blossoming gains , the market rips 1.4 % in less than a minute .
What did he say ?
!
?
The speech sounds generic and pasted from a 2D pastel edu pamphlet circa 83′ .
Market rallies another 1.5 % , moving noticably quicker than the words from the podium .
What ’ s the big deal ?
Market gaps up half a percent on a single tick .
Green basis points flashing growth-rates that remind you of the corona counter ticker you just saw on twitter @ @ @ @ @ @ @ can ’ t close now..
I can ’ t do anything now… .
It ’ s too fast .
When is it going to reverse ?
Just then you notice the calm demeanor of the lecturn , the parading of CEOs , and you finally get a glimpse into the perspective of someone who could be buying .
This isn ’ t the end of the markets , this guy ’ s going to get elected again .
It ’ s not a complete shift to communism .
Right ?
?
F that @ @ @ @ @ @ @ the corona , the zombie companies , the debt .
It ’ s all coming home to roost .
Hold those shorts… Market ’ s green over 5 % ..
It was just 10 minutes ago or so you thought we were crashing .
This is crazy .
+6 % People start dumping shorts & puts trying to break even or limit the P/L that just turned negative .
Permabulls think we just bottomed so they throw everything they have into the rally .
Short margin calls go popping off across desks and @ @ @ @ @ @ @ panic buying sets in and all those shorts throw in the bloody towel .
The massive put holders from the week look shakingly at their losses that were just gains , they liquidate .
No time to figure out the next week right now or anything .
Just get me out !
Can ’ t you see my tonsils , damn it !
Market closes , finally.. Up 9.5 % on the day , wtf just happened ?
Glad I got out of that position before it turned into a bigger loss , @ @ @ @ @ @ @ before the end of the rally , bulls say.. Not knowing that they ’ re both fk ’ d… Market ’ s going to gap down 7 % and lay a big fat -18 % the next Monday , just in time for the bulls to sell bottom , and the bears to double down on their barely profitable trades they re-entered back at -11 % , and then in the midst of complete pandemonium , the market rips & lands us back to end the day at -7 % , right where @ @ @ @ @ @ @ played yourself in the biggest stock swing in US history , and lost money on every turn .
Typical… Disclaimer : This information is only for educational purposes .
Do not make any investment decisions based on the information in this article .
Do you own due diligence .

by Triple_Theta
After bearish sentiment and fear began to grip the market with nearly unprecedented levels this week, and each failed rally on what would normally be described as colossal monetary intervention proved to be just a bump on the road toward complete oblivion, the Friday close began to show itself coming ever nearer. With less than two hours left before the close of the week, markets and traders began to look nervous as if they were going to rollover and puke again from the lack of availability of dramamine at drugstores. Trump’s to speak at 3:30 or so concerning a state of emergency for the coronavirus that has brought the world to a state of panic.
Here he goes, he’s at the podium.. markets start to tank again. S&P down over 2% since he started talking 3 minutes ago. Everybody who’s short the market starts to feel like winners, and they all start believing in their abilities to outsmart the madness of crowds and forecast market events on multiple timescales. Just as soon as the last holdouts FOMO their bearish positions on for the coming crash, and the shorts add to their blossoming gains, the market rips 1.4% in less than a minute.
What did he say?!? The speech sounds generic and pasted from a 2D pastel edu pamphlet circa 83′. Market rallies another 1.5%, moving noticably quicker than the words from the podium. What’s the big deal? Market gaps up half a percent on a single tick. Green basis points flashing growth-rates that remind you of the corona counter ticker you just saw on twitter. Wtf is going on? I can’t close now.. I can’t do anything now…. It’s too fast. When is it going to reverse? Just then you notice the calm demeanor of the lecturn, the parading of CEOs, and you finally get a glimpse into the perspective of someone who could be buying. This isn’t the end of the markets, this guy’s going to get elected again. It’s not a complete shift to communism. Right?? F that, this thing is still screwed, the corona, the zombie companies, the debt. It’s all coming home to roost. Hold those shorts…
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Market’s green over 5%.. It was just 10 minutes ago or so you thought we were crashing. This is crazy. +6% People start dumping shorts & puts trying to break even or limit the P/L that just turned negative. Permabulls think we just bottomed so they throw everything they have into the rally. Short margin calls go popping off across desks and platforms all over the world. Absolute panic buying sets in and all those shorts throw in the bloody towel. The massive put holders from the week look shakingly at their losses that were just gains, they liquidate. No time to figure out the next week right now or anything. Just get me out! Can’t you see my tonsils, damn it! Market closes, finally..
Up 9.5% on the day, wtf just happened? Glad I got out of that position before it turned into a bigger loss, bears say.. So glad I got in before the end of the rally, bulls say.. Not knowing that they’re both fk’d… Market’s going to gap down 7% and lay a big fat -18% the next Monday, just in time for the bulls to sell bottom, and the bears to double down on their barely profitable trades they re-entered back at -11%, and then in the midst of complete pandemonium, the market rips & lands us back to end the day at -7%, right where it started. Congratulations, you all played yourself in the biggest stock swing in US history, and lost money on every turn. Typical…
tl;dr Bears/Bulls both fk’d
Disclaimer: This information is only for educational purposes. Do not make any investment decisions based on the information in this article. Do you own due diligence.


investmentwatchblog--2020-03-16--How COVID-19 Leads to 2008-Style Bank Crisis

The COVID-19 virus is pushing an economy that was already approaching a cliff .
Will it go over the edge ?
Probably .
And the Federal Reserve lifeline is wearing thin .
I have to admit , I didn ’ t foresee this .
Six weeks ago , I said 2020 would probably bring continued low growth .
Then I noted several brewing crises that could cause major problems .
A pandemic wasn ’ t on my list .
But then , using the impeachment trial as an example , I added… This Ukraine/Biden thing came out of nowhere just @ @ @ @ @ @ @ could , too .
And it might not be in Washington .
That ’ s kind of what happened .
COVID was just a Chinese problem at the time .
Now it is our problem , too .
And it may be a big one .
Right now everyone is worried about protecting their own health .
We also see lower stock prices .
This is not coincidence .
To understand why , we need to observe how the dominoes are falling .
The Chinese government responded to the initial Wuhan outbreak with @ @ @ @ @ @ @ .
Production and economic activity dropped hard .
Ships that normally export goods to the West never left .
That was a problem , and still is .
Many US businesses depend on Chinese parts and components .
If they can ’ t find substitutes , they may have to shut down , too .
But that ’ s happening slowly , so far .
This wasn ’ t the only impact , though .
Millions of Chinese small businesses ( and some large ones ) have gone weeks with little or no @ @ @ @ @ @ @ t be able to make up for the lost time .
An unrented hotel room is a permanently lost opportunity .
Same for a restaurant table , theater chair , or taxi seat .
So these businesses lost sales they can ’ t recover , even as their bills continued : mortgages , maintenance , sometimes payroll .
And if they were able to stop payroll , that doesn ’ t eliminate the problem .
They just shifted it to workers , who didn ’ t get paid but still have their own @ @ @ @ @ @ @ will get back to business , but only after losing an entire quarter ’ s activity , or close to it .
That is a serious problem in highly leveraged economies , of which China is not the only one .
This affects corporate earnings , so stock prices fall .
Now , let ’ s talk about the US .
Changes are happening fast so forgive me if this is out of date .
As I write this , we have outbreaks on both the East and West coasts .
Many more @ @ @ @ @ @ @ t know because testing has been quite limited so far .
• People who think they may become homebound are flocking to stores for essential items .
• Some large companies are telling workers to cancel nonessential travel .
• Unlucky folks who simply came in contact with a COVID-positive person are in isolation , essentially removed from the economy .
• At least one school has been closed due to an infected staff member exposing everyone .
In Japan , they ’ ve closed all schools for at least a month .
@ @ @ @ @ @ @ either they or their employers will lose money .
And making up the lost instructional time when this is over will disrupt other plans .
Japan is an advanced economy with modern health care , sanitation , and disease control .
And COVID is still hitting it hard .
I see no reason to think the US will fare any better .
The virus is here and spreading .
Even if few people die , controlling it could still close many businesses .
My best guess is we ’ re a couple of @ @ @ @ @ @ @ so , the debt that propelled much of our growth will go in reverse .
Note , all this is on top of the China-related supply chain problems , which would seriously affect the US even if the virus hadn ’ t reached here .
Which brings us to the banks .
As the old saying goes , you can ’ t get blood from a turnip .
What happens when millions of debtors suddenly can ’ t make their loan payments ?
That ’ s not a crazy idea .
It ’ @ @ @ @ @ @ @ as much trouble controlling the coronavirus as China did , putting people out of work for weeks .
Keep in mind , about 40 % of US adults can ’ t handle a $ 400 unexpected expense .
If you are , say , a restaurant worker or flight attendant who gets laid off because people are staying home and not travelling , you ’ ll lose that much income pretty fast .
Many of those affected will fall behind on their debts .
Banks assume a certain number of loans will default @ @ @ @ @ @ @ .
But because the banks themselves are also in debt , too many defaults in a short time can burn through the reserves .
Then what ?
In China , the government is allowing ( or perhaps ordering ) banks to ignore the problem , and stop recognizing bad loans .
Could that happen here ?
Maybe .
I can imagine regulators giving banks more “ flexibility ” to manage their loan portfolios .
The Federal Reserve can also loan money to banks that need it .
But such measures won ’ t @ @ @ @ @ @ @ be there .
Someone will eat the losses .
Who ?
China will do it the Communist way : collectivize the pain .
The rest of us may be headed toward something like the 2008 financial crisis , with a highly leveraged bank industry holding mass numbers of nonperforming consumer and business loans .
But this time… • The Fed can ’ t cut rates much unless it wants to go negative .
• Any fiscal stimulus will add to an already-gargantuan federal deficit .
• Everyone may be dealing with a giant @ @ @ @ @ @ @ recession .
• People of all political persuasions dislike bank bailouts and won ’ t want to do it again .
And all this will unfold in an already-contentious election year .
I don ’ t know where this is going .
Maybe the Fed will pull a rabbit from its hat .
Maybe the virus fears are overblown and this will all pass quickly .
But if it doesn ’ t , we are going to have a problem .

by Patrick Watson
The COVID-19 virus is pushing an economy that was already approaching a cliff. Will it go over the edge?
Probably. And the Federal Reserve lifeline is wearing thin.
I have to admit, I didn’t foresee this. Six weeks ago, I said 2020 would probably bring continued low growth. Then I noted several brewing crises that could cause major problems. A pandemic wasn’t on my list.
But then, using the impeachment trial as an example, I added…
This Ukraine/Biden thing came out of nowhere just a few months ago. Something else could, too. And it might not be in Washington.
That’s kind of what happened. COVID was just a Chinese problem at the time. Now it is our problem, too.
And it may be a big one.
Photo: Pixabay
Lost Quarter
Right now everyone is worried about protecting their own health. We also see lower stock prices. This is not coincidence.
To understand why, we need to observe how the dominoes are falling.
The Chinese government responded to the initial Wuhan outbreak with containment measures that shut down many businesses. Production and economic activity dropped hard. Ships that normally export goods to the West never left.
That was a problem, and still is. Many US businesses depend on Chinese parts and components. If they can’t find substitutes, they may have to shut down, too. But that’s happening slowly, so far.
This wasn’t the only impact, though.
Millions of Chinese small businesses (and some large ones) have gone weeks with little or no incoming cash flow.
Some won’t be able to make up for the lost time. An unrented hotel room is a permanently lost opportunity. Same for a restaurant table, theater chair, or taxi seat.
So these businesses lost sales they can’t recover, even as their bills continued: mortgages, maintenance, sometimes payroll.
And if they were able to stop payroll, that doesn’t eliminate the problem. They just shifted it to workers, who didn’t get paid but still have their own bills.
In due course, China will get back to business, but only after losing an entire quarter’s activity, or close to it. That is a serious problem in highly leveraged economies, of which China is not the only one. This affects corporate earnings, so stock prices fall.
Photo: Flickr
School Closures
Now, let’s talk about the US. Changes are happening fast so forgive me if this is out of date.
We are primarily funded by readers. Please subscribe and donate to support us!
As I write this, we have outbreaks on both the East and West coasts. Many more are likely infected. We don’t know because testing has been quite limited so far.
People who think they may become homebound are flocking to stores for essential items.
Some large companies are telling workers to cancel nonessential travel.
Unlucky folks who simply came in contact with a COVID-positive person are in isolation, essentially removed from the economy.
At least one school has been closed due to an infected staff member exposing everyone.
In Japan, they’ve closed all schools for at least a month. This ties down working parents, meaning either they or their employers will lose money. And making up the lost instructional time when this is over will disrupt other plans.
Japan is an advanced economy with modern health care, sanitation, and disease control. And COVID is still hitting it hard.
I see no reason to think the US will fare any better. The virus is here and spreading. Even if few people die, controlling it could still close many businesses.
My best guess is we’re a couple of weeks behind Japan on this. If so, the debt that propelled much of our growth will go in reverse.
Note, all this is on top of the China-related supply chain problems, which would seriously affect the US even if the virus hadn’t reached here.
Which brings us to the banks.
Photo: Pixabay
Eating Losses
As the old saying goes, you can’t get blood from a turnip. What happens when millions of debtors suddenly can’t make their loan payments?
That’s not a crazy idea. It’s entirely possible if the US has as much trouble controlling the coronavirus as China did, putting people out of work for weeks.
Keep in mind, about 40% of US adults can’t handle a $400 unexpected expense. If you are, say, a restaurant worker or flight attendant who gets laid off because people are staying home and not travelling, you’ll lose that much income pretty fast. Many of those affected will fall behind on their debts.
Banks assume a certain number of loans will default. They have reserves for that purpose. But because the banks themselves are also in debt, too many defaults in a short time can burn through the reserves. Then what?
In China, the government is allowing (or perhaps ordering) banks to ignore the problem, and stop recognizing bad loans.
Could that happen here? Maybe. I can imagine regulators giving banks more “flexibility” to manage their loan portfolios. The Federal Reserve can also loan money to banks that need it.
But such measures won’t change reality. The debt will still be there. Someone will eat the losses. Who?
China will do it the Communist way: collectivize the pain.
The rest of us may be headed toward something like the 2008 financial crisis, with a highly leveraged bank industry holding mass numbers of nonperforming consumer and business loans. But this time…
The Fed can’t cut rates much unless it wants to go negative.
Any fiscal stimulus will add to an already-gargantuan federal deficit.
Everyone may be dealing with a giant healthcare crisis, on top of a recession.
People of all political persuasions dislike bank bailouts and won’t want to do it again.
And all this will unfold in an already-contentious election year.
I don’t know where this is going. Maybe the Fed will pull a rabbit from its hat. Maybe the virus fears are overblown and this will all pass quickly.
But if it doesn’t, we are going to have a problem.


investmentwatchblog--2020-03-16--The Covid-19 Dominoes Fall: The World Is Insolvent

Subtract their immense debts and they have negative net worth , and therefore the market value of their stock is zero .
To understand why the financial dominoes toppled by the Covid-19 pandemic lead to global insolvency , let ’ s start with a household example .
The point of this exercise is to distinguish between the market value of assets and net worth , which is what ’ s left after debts are subtracted from the market value of assets .
Let ’ s say the household has done very well for itself and owns assets worth $ 1 @ @ @ @ @ @ @ business , 401K retirement accounts and a portfolio of stocks and other investments .
The household also has $ 500,000 in debts : home mortgage , auto loans , student loans and credit card balances .
The household net worth is thus $ 1,000,000 minus $ 500,000 = $ 500,000 .
Let ’ s say a typical financial crisis and recession occur , and the household ’ s assets fall 30 % .
30 % of $ 1 million is $ 300,000 , so the the market value of the household ’ s @ @ @ @ @ @ @ the $ 500,000 in debts and the household ’ s net worth has fallen to $ 200,000 .
The point here is debts remain regardless of what happens to the market value of assets owned by the household .
Then the speculative asset bubbles re-inflate , and the household takes on more debt in the euphoric expansion of confidence to buy a larger house , expand the family business and enjoy life more .
Now the household assets are worth $ 2 million , but debt has risen to $ 1.5 million .
@ @ @ @ @ @ @ since debt has risen along with asset values .
Alas , all bubbles pop , and the market value of the household assets decline by 30 % , or $ 600,000 .
Now the household assets are worth $ 2,000,000 minus $ 600,000 or $ 1,400,000 .
The household net worth is now $ 1,400,000 minus $ 1,500,000 or negative $ 100,000 .
the household is insolvent .
On top of that , the net income of the family business plummets to near-zero in the recession , leaving insufficient income to pay all @ @ @ @ @ @ @ .
This is an exact analog for the entire global economy , which pre-pandemic had assets with a market value of $ 350 trillion and debts of $ 255 trillion and thus a net worth of around $ 100 trillion .
The $ 11 trillion that has evaporated in the market value of U.S. stocks is only a taste of the losses in market value .
Global stock markets has lost $ 30 trillion , and once yields rise despite central bank manipulations ( oops , I mean intervention ) , $ 30 @ @ @ @ @ @ @ will vanish into thin air .
The market value of junk bonds has already plummeted by trillions , and that ’ s not even counting the trillions lost in small business equity , shadow banking and a host of other non-tradable assets .
Then there ’ s the most massive asset bubble of all , real estate .
Millions of properties delusional owners still think are worth $ 1.4 million will soon revert to a more reality-based valuation around $ 400,000 , or perhaps even less , meaning $ 1 million per property @ @ @ @ @ @ @ market value of global assets falls by $ 100 trillion , the world is insolvent .
Everyone expecting the financial markets to magically return to January 2020 levels once the pandemic dies down is delusional .
All the dominoes of crashing market valuations , crashing incomes , crashing profits and soaring defaults will take down all the fantasy-based valuations of bubblicious assets : stocks , bonds , real estate , bat guano , you name it .
( Actually , bat guano will be the keeper of all the asset classes listed .
@ @ @ @ @ @ @ lost $ 100 trillion in market value , and therefore it ’ s already insolvent .
The only question remaining is how insolvent ?
Here ’ s a hint : companies whose shares were recently worth $ 500 or $ 300 will be worth $ 10 or $ 20 when this is over .
Bonds that were supposedly “ safe ” will lose 50 % of their market value .
Real estate will be lucky to retain 40 % of its current value .
And so on .
As net worth crashes below @ @ @ @ @ @ @ must still be serviced or paid off , and if the borrowers default , then the losses must be absorbed by the lenders or taxpayers , if we get a repeat of 2008 and the insolvent taxpayers are forced to bail out the insolvent financial elites .
Here ’ s the S & P 500 .
Where is the bottom ?
There is no bottom , but nobody dares say this .
Companies with negative profits have no value other than the cash on hand and the near-zero auction value of other assets @ @ @ @ @ @ @ have negative net worth , and therefore the market value of their stock is zero .

by Charles Hugh-Smith
Subtract their immense debts and they have negative net worth, and therefore the market value of their stock is zero.
To understand why the financial dominoes toppled by the Covid-19 pandemic lead to global insolvency, let’s start with a household example. The point of this exercise is to distinguish between the market value of assets and net worth, which is what’s left after debts are subtracted from the market value of assets.
Let’s say the household has done very well for itself and owns assets worth $1 million: a home, a family business, 401K retirement accounts and a portfolio of stocks and other investments.
The household also has $500,000 in debts: home mortgage, auto loans, student loans and credit card balances.
The household net worth is thus $1,000,000 minus $500,000 = $500,000.
Let’s say a typical financial crisis and recession occur, and the household’s assets fall 30%. 30% of $1 million is $300,000, so the the market value of the household’s assets falls to $700,000.
Deduct the $500,000 in debts and the household’s net worth has fallen to $200,000. The point here is debts remain regardless of what happens to the market value of assets owned by the household.
Then the speculative asset bubbles re-inflate, and the household takes on more debt in the euphoric expansion of confidence to buy a larger house, expand the family business and enjoy life more.
Now the household assets are worth $2 million, but debt has risen to $1.5 million. Net worth remains at $500,000, since debt has risen along with asset values.
Alas, all bubbles pop, and the market value of the household assets decline by 30%, or $600,000. Now the household assets are worth $2,000,000 minus $600,000 or $1,400,000. The household net worth is now $1,400,000 minus $1,500,000 or negative $100,000. the household is insolvent.
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On top of that, the net income of the family business plummets to near-zero in the recession, leaving insufficient income to pay all the debts the household has taken on.
This is an exact analog for the entire global economy, which pre-pandemic had assets with a market value of $350 trillion and debts of $255 trillion and thus a net worth of around $100 trillion.
The $11 trillion that has evaporated in the market value of U.S. stocks is only a taste of the losses in market value. Global stock markets has lost $30 trillion, and once yields rise despite central bank manipulations (oops, I mean intervention), $30 trillion in the market value of bonds will vanish into thin air.
The market value of junk bonds has already plummeted by trillions, and that’s not even counting the trillions lost in small business equity, shadow banking and a host of other non-tradable assets.
Then there’s the most massive asset bubble of all, real estate. Millions of properties delusional owners still think are worth $1.4 million will soon revert to a more reality-based valuation around $400,000, or perhaps even less, meaning $1 million per property will melt into air.
Once the market value of global assets falls by $100 trillion, the world is insolvent.
Everyone expecting the financial markets to magically return to January 2020 levels once the pandemic dies down is delusional. All the dominoes of crashing market valuations, crashing incomes, crashing profits and soaring defaults will take down all the fantasy-based valuations of bubblicious assets: stocks, bonds, real estate, bat guano, you name it. (Actually, bat guano will be the keeper of all the asset classes listed.)
The global financial system has already lost $100 trillion in market value, and therefore it’s already insolvent. The only question remaining is how insolvent?
Here’s a hint: companies whose shares were recently worth $500 or $300 will be worth $10 or $20 when this is over. Bonds that were supposedly “safe” will lose 50% of their market value. Real estate will be lucky to retain 40% of its current value. And so on.
As net worth crashes below zero, debts remain. The loans must still be serviced or paid off, and if the borrowers default, then the losses must be absorbed by the lenders or taxpayers, if we get a repeat of 2008 and the insolvent taxpayers are forced to bail out the insolvent financial elites.
Here’s the S&P 500. Where is the bottom? There is no bottom, but nobody dares say this. Companies with negative profits have no value other than the cash on hand and the near-zero auction value of other assets. Subtract their immense debts and they have negative net worth, and therefore the market value of their stock is zero.


investmentwatchblog--2020-03-16--“Where You Stop Is Where You Stay” – Domestic Travel Restrictions Are Being “Considered”

Is the United States on the verge of a complete and total “ lockdown ” like we have already seen in China , Italy and elsewhere ?
As you will see below , the Trump administration has repeatedly brought up the possibility of “ domestic travel restrictions ” , and that means that this is something that is very seriously being considered .
The first step may be simply banning all non-essential domestic air travel , and that would be a major inconvenience for many Americans .
But beyond that , there is the possibility that we could see restrictions @ @ @ @ @ @ @ draconian restrictions on going out in public at all like we have already seen in China and Italy .
If we get to that point , where you are at that moment is where you will be staying , and I will be sharing more about this below .
But first , let ’ s review what the Trump administration has been telling the public about the possibility of “ domestic travel restrictions ” .
The following comes from a USA Today article that was posted on Saturday… I think that the phrase @ @ @ @ @ @ @ is pretty clear , and it should definitely send a chill up your spine .
Then on Sunday , a member of the administration said that officials are weighing “ an outright halt to domestic air travel ” … This came directly from acting secretary of the Department of Homeland Security Chad Wolf , and he went on to add that “ all options remain on the table ” … So would “ all options ” also include banning all travel in and out of states where this pandemic is the worst ?
@ @ @ @ @ @ @ that Florida Governor Ron DeSantis is actually asking for… Could you imagine getting into your car and driving toward the next state only to be stopped at the border ?
It could soon happen .
Hopefully we won ’ t get to that point , but this outbreak continues to spiral out of control .
And if the numbers just keep going up , it is inevitable that we will see things happen that would have been unthinkable only a few weeks ago .
At this point , even Dr. Anthony Fauci appears @ @ @ @ @ @ @ “ national lockdown ” … As Americans , we don ’ t like to have our movements restricted .
And hopefully the Trump administration will choose not to go in that direction , but they have already restricted domestic travel for members of the military… And similar restrictions have been put into place for federal workers… With all that in mind , I would like for you to watch this video .
According to John Grimm , a Republican candidate for Kootenai County Sheriff , it appears quite likely that we could potentially @ @ @ @ @ @ @ the near future .
And if there is eventually some sort of a total lockdown , he is warning that “ where you stop is where you stay ” … So I hope that you are already at the place where you plan to ride out this pandemic .
If not , I would get there as quickly as possible .
Meanwhile , we continue to see major institutions shut down all over the country .
On Sunday , we learned that all schools in New York City will be shutting down “ @ @ @ @ @ @ @ Also , several states announced on Sunday that all restaurants and bars will be forced to shut down for the foreseeable future .
Ohio was one of the first to make such an announcement… Most restaurants in this country are just barely scraping by financially , and many of those that are now being forced to close down may not ever open back up again .
Illinois is another one of the states that is closing down all restaurants and bars… In areas of the country where this outbreak is already wildly out @ @ @ @ @ @ @ might as well be closed down anyway .
Restaurant traffic in New York City and Seattle is down more than 60 percent , and the more this virus spreads the more people are going to be afraid to go out into public to do anything .
Just a few weeks ago our lives seemed so normal , but now our entire country is steadily shutting down from coast to coast .
And life is not going to return to normal any time soon , because the CDC just issued guidelines calling for the @ @ @ @ @ @ @ events with 50 or more attendees for the next eight weeks ” … In other words , everything that is being shut down right now is going to remain shut down for at least eight weeks .
I can not even begin to describe how damaging that is going to be to our economy .
And what happens if this pandemic is still raging after eight weeks have passed ?
The Spanish Flu pandemic lasted for three entire years .
There is no way that authorities could keep us all locked down for @ @ @ @ @ @ @ becoming a national nightmare , and it appears that our freedoms are about to be restricted in ways that most of us never thought possible .
America is on the verge of being locked down , and for many of us it truly will feel like we have been put in prison .

by Michael Snyder
Is the United States on the verge of a complete and total “lockdown” like we have already seen in China, Italy and elsewhere? As you will see below, the Trump administration has repeatedly brought up the possibility of “domestic travel restrictions”, and that means that this is something that is very seriously being considered. The first step may be simply banning all non-essential domestic air travel, and that would be a major inconvenience for many Americans. But beyond that, there is the possibility that we could see restrictions on all travel between states or even draconian restrictions on going out in public at all like we have already seen in China and Italy. If we get to that point, where you are at that moment is where you will be staying, and I will be sharing more about this below.
But first, let’s review what the Trump administration has been telling the public about the possibility of “domestic travel restrictions”. The following comes from a USA Today article that was posted on Saturday…
President Donald Trump and Vice President Mike Pence on Saturday said the government is considering domestic travel restrictions amid the coronavirus pandemic and added United Kingdom and Ireland to the Europe travel restrictions that went into effect late Friday. They did not offer specifics on domestic flight restrictions but Trump said earlier in the week that they would be considered if “an area gets a little bit out of control” in terms of coronavirus cases.
I think that the phrase “is considering domestic travel restrictions” is pretty clear, and it should definitely send a chill up your spine.
Then on Sunday, a member of the administration said that officials are weighing “an outright halt to domestic air travel”…
The Trump administration is weighing “all options” to curb the coronavirus outbreak in the U.S., including an outright halt to domestic air travel, a senior official said Sunday. Such a drastic step hasn’t been taken since the Sept. 11, 2001 attacks, and it would raise questions about U.S. airlines’ chances for survival without government support.
This came directly from acting secretary of the Department of Homeland Security Chad Wolf, and he went on to add that “all options remain on the table”…
“We continue to look at all options and all options remain on the table,” said Chad Wolf, acting secretary of the Department of Homeland Security in a press briefing when asked about the possibility. He said the administration is following guidance from the Centers for Disease Control and Prevention.
So would “all options” also include banning all travel in and out of states where this pandemic is the worst?
Apparently so, and this is something that Florida Governor Ron DeSantis is actually asking for…
Florida Gov. Ron DeSantis said the White House should consider restricting domestic travel from states that are seeing a rapid increase in coronavirus infections, saying the flow of people has made containment difficult. He made the plea shortly before the state on Saturday announced its fourth death from the disease, a 77-year-old man from Lee County.
Could you imagine getting into your car and driving toward the next state only to be stopped at the border?
It could soon happen.
Hopefully we won’t get to that point, but this outbreak continues to spiral out of control.
And if the numbers just keep going up, it is inevitable that we will see things happen that would have been unthinkable only a few weeks ago.
At this point, even Dr. Anthony Fauci appears to be advocating some sort of a “national lockdown”…
Asked by CNN’s Brianna Keilar on “State of the Union” if he’d like a “national lockdown” where people are being told they need to stay home and out of restaurants and bars, Dr. Anthony Fauci, the director of the National Institute of Allergy and Infectious Disease, said he’d “like to see a dramatic diminution of the personal interaction that we see” in those places. “Whatever it takes to do that, that’s what I’d like to see,” Fauci added.
As Americans, we don’t like to have our movements restricted.
And hopefully the Trump administration will choose not to go in that direction, but they have already restricted domestic travel for members of the military…
A memo released Friday evening announced a ban on government-funded domestic travel for military members, Department of Defense civilians and their families, according to Stars and Stripes. The Pentagon says Deputy Defense Secretary David Norquist has approved new travel restrictions on service members and Defense Department civilians assigned to military installations and surrounding areas within the United States and its territories.
And similar restrictions have been put into place for federal workers…
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As the coronavirus outbreak continues across the U.S., the White House has told federal agencies and executive departments to suspend all work travel unless it is absolutely necessary. The White House Office of Management and Budget issued new guidance on Saturday telling federal workers that “only mission-critical travel is recommended at this time.”
With all that in mind, I would like for you to watch this video. According to John Grimm, a Republican candidate for Kootenai County Sheriff, it appears quite likely that we could potentially see some sort of travel restrictions in the near future. And if there is eventually some sort of a total lockdown, he is warning that “where you stop is where you stay”…
So I hope that you are already at the place where you plan to ride out this pandemic.
If not, I would get there as quickly as possible.
Meanwhile, we continue to see major institutions shut down all over the country.
On Sunday, we learned that all schools in New York City will be shutting down “until at least April 20”…
In a decision he described as “extraordinarily painful,” New York Mayor Bill de Blasio said Sunday that he is closing the city’s public schools on Monday until at least April 20. The mayor said the city would make every attempt to reopen schools at that point, but that it’s possible schools could remain closed for the rest of the school year.
Also, several states announced on Sunday that all restaurants and bars will be forced to shut down for the foreseeable future. Ohio was one of the first to make such an announcement…
Ohio Governor Mike DeWine announced that he will be issuing an order to close all restaurants and bars beginning at 9:00 p.m. Sunday night. “I’m aware that this will impact many, many good workers,” he said in a tweet. “I can’t tell you how sorry I am, but we will work to mitigate the suffering. It is our goal to get everyone through this.”
Most restaurants in this country are just barely scraping by financially, and many of those that are now being forced to close down may not ever open back up again.
Illinois is another one of the states that is closing down all restaurants and bars…
Illinois Gov. JB Pritzker announced Sunday afternoon that all restaurants and bars in Illinois will be closed effective at the end of the business day on Monday, continuing through March 30, due to the coronavirus pandemic. “I cannot let the gravity of the choices prevent us from taking the actions that the science and the experts say will keep people safe,” Pritzker said.
In areas of the country where this outbreak is already wildly out of control, the restaurants and bars might as well be closed down anyway. Restaurant traffic in New York City and Seattle is down more than 60 percent, and the more this virus spreads the more people are going to be afraid to go out into public to do anything.
Just a few weeks ago our lives seemed so normal, but now our entire country is steadily shutting down from coast to coast.
And life is not going to return to normal any time soon, because the CDC just issued guidelines calling for the cancellation or the postponement of “any events with 50 or more attendees for the next eight weeks”…
The Centers for Disease Control and Prevention is urging people across the U.S. to cancel or postpone any events with 50 or more attendees for the next eight weeks, the agency said in revised guidance issued Sunday. The CDC said individuals and organizations should reschedule large events and that gatherings of any size should be reconsidered unless organizers can protect vulnerable populations, ensure proper hand hygiene and social distancing.
In other words, everything that is being shut down right now is going to remain shut down for at least eight weeks.
I cannot even begin to describe how damaging that is going to be to our economy.
And what happens if this pandemic is still raging after eight weeks have passed?
The Spanish Flu pandemic lasted for three entire years. There is no way that authorities could keep us all locked down for that long.
This pandemic is rapidly becoming a national nightmare, and it appears that our freedoms are about to be restricted in ways that most of us never thought possible.
America is on the verge of being locked down, and for many of us it truly will feel like we have been put in prison.


investmentwatchblog--2020-03-16--Did The Federal Reserve Just Purposely Try To Crash The Stock Market?

Unless the Federal Reserve is purposely attempting to spread panic on Wall Street , the decisions that the Fed just made don ’ t make any sense at all .
Back on March 3rd , the Federal Reserve announced an unscheduled emergency interest rate cut for the very first time since 2008 .
Wall Street immediately interpreted that as a “ panic move ” and the Dow Jones Industrial Average ended the session down 785 points .
So Fed officials had to know what was going to happen once they announced an even bigger unscheduled emergency interest rate cut on @ @ @ @ @ @ @ “ limit down ” very rapidly , and now investors are bracing for a week of tremendous carnage .
But this didn ’ t have to happen .
Yes , we witnessed three of the worst trading days in U.S. stock market history last week , but on Friday the Dow Jones Industrial Average was up 1,985 points .
It was an absolutely epic rally , and if the Fed had not caused so much panic there may have been a good chance that the rally could have continued into next week .
@ @ @ @ @ @ @ had one of their best days ever , and there didn ’ t appear to be a need for any “ emergency intervention ” by the Fed .
If the Federal Reserve had just waited a couple of days until their normally monthly meeting , and if the Fed had just cut rates a quarter point , that would have likely been greeted by the markets with warm enthusiasm .
But instead , Fed officials decided to load up their bazooka and go for broke on Sunday .
In addition to using up @ @ @ @ @ @ @ ” in one epic volley , the Fed also officially restarted quantitative easing… These moves have “ panic ” written all over them , and investors immediately responded accordingly… As I mentioned above , Fed officials saw what happened immediately after their March 3rd emergency rate cut , and so this sort of response by the markets should have been foreseeable .
As Wolf Richter has noted , these latest moves by the Fed were “ the opposite of being confidence inspiring ” … So then why did the Fed pull the trigger @ @ @ @ @ @ @ result ?
It would seem that there are two obvious conclusions .
Either Fed officials are completely and utterly incompetent , or they were purposely trying to crash the stock market .
And now that the Federal Reserve is completely out of interest rate ammunition to fight any future economic downturn , the only weapon they have left is “ helicopter money ” .
As economic activity comes to a grinding standstill due to fear of the coronavirus , it appears to be inevitable that we will see tremendous inflation as the Fed @ @ @ @ @ @ @ other words , there is going to be a whole lot more money chasing a lot fewer goods and services in the months to come .
Meanwhile , we are already starting to see a run on U.S. banks .
On Thursday , so many people were taking money out of a Bank of America branch in midtown Manhattan that it actually ran out of cash… And according to Zero Hedge , wealthy individuals in the Hamptons are doing the same thing… As the ultra rich Snake Plisken out of the soon-to-be quarantined @ @ @ @ @ @ @ has are already run out of $ 100 bills – to fortify themselves against the viral zombie peasant hordes in their impregnable castles in the Hamptons , one thing they ’ re looking to hoard is cash , which has caused some substantial pressure on financial institutions in the area , according to Bloomberg .
At least one New Yorker had his $ 30,000 cash withdrawal request denied at a Chase bank after being told the limit was $ 10,000 .
Meanwhile , bank employees said they were waiting on a “ shipment @ @ @ @ @ @ @ that have been made exceeding the $ 10,000 amount .
Other branches in the area were unable to help in fulfilling the request , with the East Hampton branch reportedly telling the Southampton branch that it had “ two massive withdrawal orders ” of its own that it was trying to deal with .
Hopefully we won ’ t see similar scenes all over the country in the weeks ahead .
But without a doubt , panic continues to spread all over the globe .
The following examples come from CNN… Yes , @ @ @ @ @ @ @ worst in humanity .
Here in the United States , two “ panic shoppers ” became so enraged with one another that they began hitting each other with broken wine bottles… This is why it was so important to get prepared in advance .
For years I have been mocked for telling my readers to “ get prepared ” , but now those that did are going to be very thankful for the things that they have stored up .
If you are not prepared , you can go brave the giant crowds @ @ @ @ @ @ @ but at this point the big stores are going to be one of the very best places in the entire country to catch the virus .
I don ’ t know about you , but I am not eager to experience the “ blinding pain ” that survivors of COVID-19 have told us about .
So I would highly recommend avoiding big stores and other major public gathering places as much as possible .
We need to accept that life has changed for the foreseeable future .
According to Newt Gingrich , it @ @ @ @ @ @ @ wartime mindset… And this is also a time for prayer .
In fact , President Trump designated Sunday as a “ National Day of Prayer ” … Let us all hope that this pandemic passes as quickly as possible .
But the CDC just issued new guidelines that recommend that gatherings of 50 people or more not be held for the next eight weeks .
Of course most decision makers in this country will follow those guidelines , and so that means that our lives will not be getting back to normal for @ @ @ @ @ @ @ And it could be a whole lot longer than that .

by Michael Snyder
Unless the Federal Reserve is purposely attempting to spread panic on Wall Street, the decisions that the Fed just made don’t make any sense at all. Back on March 3rd, the Federal Reserve announced an unscheduled emergency interest rate cut for the very first time since 2008. Wall Street immediately interpreted that as a “panic move” and the Dow Jones Industrial Average ended the session down 785 points. So Fed officials had to know what was going to happen once they announced an even bigger unscheduled emergency interest rate cut on Sunday. Predictably, stock futures hit “limit down” very rapidly, and now investors are bracing for a week of tremendous carnage.
But this didn’t have to happen. Yes, we witnessed three of the worst trading days in U.S. stock market history last week, but on Friday the Dow Jones Industrial Average was up 1,985 points. It was an absolutely epic rally, and if the Fed had not caused so much panic there may have been a good chance that the rally could have continued into next week.
In other words, U.S. stocks just had one of their best days ever, and there didn’t appear to be a need for any “emergency intervention” by the Fed.
If the Federal Reserve had just waited a couple of days until their normally monthly meeting, and if the Fed had just cut rates a quarter point, that would have likely been greeted by the markets with warm enthusiasm.
But instead, Fed officials decided to load up their bazooka and go for broke on Sunday. In addition to using up all of their “interest rate ammunition” in one epic volley, the Fed also officially restarted quantitative easing…
The Federal Reserve, saying “the coronavirus outbreak has harmed communities and disrupted economic activity in many countries, including the United States,” cut interest rates to essentially zero on Sunday and launched a massive $700 billion quantitative easing program to shelter the economy from the effects of the virus. The new fed funds rate, used as a benchmark both for short-term lending for financial institutions and as a peg to many consume rates, will now be targeted at 0%-0.25% down from a target range of 1% to 1.25%.
These moves have “panic” written all over them, and investors immediately responded accordingly…
Stock market futures hit “limit down” levels of 5% lower, a move made by the CME futures exchange to reduce panic in markets. No prices can trade below that threshold, only at higher prices than that down 5% limit. Dow Jones Industrial average futures were off by more than 1,000 points, triggering the limit down level. S&P 500 and Nasdaq 100 futures were also at their downside limits.
As I mentioned above, Fed officials saw what happened immediately after their March 3rd emergency rate cut, and so this sort of response by the markets should have been foreseeable.
As Wolf Richter has noted, these latest moves by the Fed were “the opposite of being confidence inspiring”…
The whole Sunday afternoon maneuver, on top of the mega shock-and-awe maneuvers Thursday and Friday reek of sheer and outright panic – and they’re the opposite of being confidence inspiring. That stock futures plunged after the Fed had effectively put its biggest tools to work shows how obvious this panic is.
So then why did the Fed pull the trigger if this was going to be the result?
It would seem that there are two obvious conclusions. Either Fed officials are completely and utterly incompetent, or they were purposely trying to crash the stock market.
And now that the Federal Reserve is completely out of interest rate ammunition to fight any future economic downturn, the only weapon they have left is “helicopter money”.
As economic activity comes to a grinding standstill due to fear of the coronavirus, it appears to be inevitable that we will see tremendous inflation as the Fed floods the system with money.
In other words, there is going to be a whole lot more money chasing a lot fewer goods and services in the months to come.
Meanwhile, we are already starting to see a run on U.S. banks. On Thursday, so many people were taking money out of a Bank of America branch in midtown Manhattan that it actually ran out of cash…
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As the stock market was having its worst day in 30 years on Thursday, customers at a Bank of America branch in Midtown Manhattan, the financial heart of New York, were lining up to take cash out of their accounts — sometimes tens of thousands of dollars at a time. So many people sought huge sums that the bank branch, at 52nd Street and Park Avenue, temporarily ran out of $100 bills to fulfill large withdrawals, according to three people familiar with the branch’s operations. The shortage hit after a rash of requests for as much as $50,000, said two people who witnessed the rush.
And according to Zero Hedge, wealthy individuals in the Hamptons are doing the same thing…
As the ultra rich Snake Plisken out of the soon-to-be quarantined Manhattan – where at least one bank has are already run out of $100 bills – to fortify themselves against the viral zombie peasant hordes in their impregnable castles in the Hamptons, one thing they’re looking to hoard is cash, which has caused some substantial pressure on financial institutions in the area, according to Bloomberg. At least one New Yorker had his $30,000 cash withdrawal request denied at a Chase bank after being told the limit was $10,000. Meanwhile, bank employees said they were waiting on a “shipment of cash” to fulfill other requests that have been made exceeding the $10,000 amount. Other branches in the area were unable to help in fulfilling the request, with the East Hampton branch reportedly telling the Southampton branch that it had “two massive withdrawal orders” of its own that it was trying to deal with.
Hopefully we won’t see similar scenes all over the country in the weeks ahead.
But without a doubt, panic continues to spread all over the globe. The following examples come from CNN…
A woman at an Australian supermarket allegedly pulls a knife on a man in a confrontation over toilet paper. A Singaporean student of Chinese ethnicity is beaten up on the streets of London and left with a fractured face. Protesters on the Indian Ocean island of Reunion welcome cruise passengers by hurling abuse and rocks at them. The coronavirus risks bringing out the worst in humanity.
Yes, this virus is definitely bringing out the worst in humanity.
Here in the United States, two “panic shoppers” became so enraged with one another that they began hitting each other with broken wine bottles…
A brawl erupted in a Georgia Sam’s Club packed with shoppers during which two feuding men slashed each other with broken wine bottles. A second incident in a Costco in Brooklyn saw an employee pleading with two women to calm down after a screaming match began when carts collided in the mobbed store.
This is why it was so important to get prepared in advance.
For years I have been mocked for telling my readers to “get prepared”, but now those that did are going to be very thankful for the things that they have stored up.
If you are not prepared, you can go brave the giant crowds storming the stores if you wish, but at this point the big stores are going to be one of the very best places in the entire country to catch the virus.
I don’t know about you, but I am not eager to experience the “blinding pain” that survivors of COVID-19 have told us about. So I would highly recommend avoiding big stores and other major public gathering places as much as possible.
We need to accept that life has changed for the foreseeable future. According to Newt Gingrich, it is time for us to adopt a wartime mindset…
We should be planning for a worst-case pandemic and using the kind of intensity of implementation which served us so well in World War II. Getting enough ventilators, masks, intensive care units, treatment medications and aggressive community-wide testing are the minimum steps to saving lives and stopping the pandemic. The Pence-led Coronavirus Task Force has begun to pull things together, but it should have a planning group that creates a worst-case projection and then devises the steps necessary to smother the pandemic and minimize its impact.
And this is also a time for prayer. In fact, President Trump designated Sunday as a “National Day of Prayer”…
President Donald Trump on Saturday declared Sunday, March 15, a “National Day of Prayer for All Americans Affected by the Coronavirus Pandemic and for our National Response Efforts.” “I urge Americans of all faiths and religious traditions and backgrounds to offer prayers for all those affected, including people who have suffered harm or lost loved ones,” Trump said in his statement announcing the day of prayer.
Let us all hope that this pandemic passes as quickly as possible.
But the CDC just issued new guidelines that recommend that gatherings of 50 people or more not be held for the next eight weeks.
Of course most decision makers in this country will follow those guidelines, and so that means that our lives will not be getting back to normal for at least the next two months.
And it could be a whole lot longer than that.


investmentwatchblog--2020-03-17--SICK!!! Joe Biden CAUGHT Raising Money Off of the Coronavirus Panic!

Cristina Laila from the Gateway Pundit reports , This is unbelievable .
Karl Rove asked Thursday night during his appearance @ @ @ @ @ Does he have no shame ?
” in response to an email showing Biden was @ @ @ @ @ Coronavirus .

Cristina Laila from the Gateway Pundit reports, This is unbelievable. Karl Rove asked Thursday night during his appearance on Fox News, “Does he have no shame?” in response to an email showing Biden was raising money off of the Coronavirus.
We are primarily funded by readers. Please subscribe and donate to support us!
Read More/Source/Credit/FairUse:
www.thegatewaypundit.com/2020…


investmentwatchblog--2020-03-17--Wuhan coronavirus: S.F. Bay Area in quarantine until April 7

Residents of San Francisco Bay Area counties are ordered to “ shelter in place ” for some three weeks in an extraordinary attempt to slow the spread of the Wuhan coronavirus .
To date , the Bay Area has 273 confirmed COVID-19 cases and 4 deaths .
Nick Garber reports for Patch that beginning at 12:01 a.m. tomorrow ( Tuesday , March 17 ) and lasting for three weeks until at least April 7 , residents of Alameda , Contra Costa , Marin , San Francisco , San Mateo and Santa Clara counties in the S.F .
Bay Area are @ @ @ @ @ @ @ .
The “ shelter in place ” order is likely the strictest measure taken anywhere in the U.S. against COVID-19 : • Residents are asked to stay home except for essential activities like seeking health care , shopping for food or other supplies .
• Outdoor activities like jogging and walking are allowed , but residents have to maintain a social distance of six feet , officials said .
• Businesses may remain open if they fall under a list of “ essential businesses ” — otherwise , they are asked to “ @ @ @ @ @ @ @ ” Many businesses would be shuttered , only allowing grocery stores , police and fire departments , pharmacies and some other businesses to stay open , San Francisco Mayor London Breed said in an announcement .
• Homeless people are not subject to the order but the state is encouraging them to seek shelter .
How will they enforce this order ?
With martial law ?
Another local news report says The “ shelter in place ” will be enforced by local police .
But police departments are already over-stressed and under-staffed , @ @ @ @ @ @ @ to enforce this mass quarantine ?

by Dr. Eowyn
Residents of San Francisco Bay Area counties are ordered to “shelter in place” for some three weeks in an extraordinary attempt to slow the spread of the Wuhan coronavirus.
To date, the Bay Area has 273 confirmed COVID-19 cases and 4 deaths.
Nick Garber reports for Patch that beginning at 12:01 a.m. tomorrow (Tuesday, March 17) and lasting for three weeks until at least April 7, residents of Alameda, Contra Costa, Marin, San Francisco, San Mateo and Santa Clara counties in the S.F. Bay Area are ordered to “shelter in place”.
We are primarily funded by readers. Please subscribe and donate to support us!
The “shelter in place” order is likely the strictest measure taken anywhere in the U.S. against COVID-19:
Residents are asked to stay home except for essential activities like seeking health care, shopping for food or other supplies. Outdoor activities like jogging and walking are allowed, but residents have to maintain a social distance of six feet, officials said. Businesses may remain open if they fall under a list of “essential businesses”— otherwise, they are asked to “cease all activities beyond minimum basic operations.” Many businesses would be shuttered, only allowing grocery stores, police and fire departments, pharmacies and some other businesses to stay open, San Francisco Mayor London Breed said in an announcement. Public transit will remain open, officials said. Homeless people are not subject to the order but the state is encouraging them to seek shelter.
My question: How will they enforce this order? With martial law? Another local news report says The “shelter in place” will be enforced by local police. But police departments are already over-stressed and under-staffed, so how will they have the manpower to enforce this mass quarantine? ~Eowyn


investmentwatchblog--2020-03-17--HEALTHCAREInfection Trajectory: See Which Countries are Flattening Their COVID-19 Curve

At the outset of 2020 , the world looked on as China grappled with an outbreak that seemed be spiraling out of control .
Two months later , the situation is markedly different .
After aggressive testing and quarantine efforts , China ’ s outbreak of Novel Coronavirus ( COVID-19 ) appears to be leveling off .
Now , numerous countries around the world are in the beginning stages of managing their own outbreaks .
March 15th , 2020 , marked a significant statistical milestone for this , as confirmed cases of COVID-19 outside of China surpassed the Chinese total @ @ @ @ @ @ @ World in Data , charts the trajectory of the growing number of countries with more than 100 confirmed cases of COVID-19 .
As the number of new infections reported around the world continues to grow , which countries are winning the battle against COVID-19 , and which are still struggling to slow the rate of infection ?
As of publishing time , 39 countries have passed the threshold of 100 confirmed cases , with many more countries on the cusp .
By comparing infection trajectories from the 100 case mark , we ’ @ @ @ @ @ @ @ of how quickly the virus is spreading within various countries .
A rapid “ doubling rate ” can spell big trouble , as even countries with advanced healthcare systems can become overwhelmed by the sheer number of cases .
This was the case in the Lombardy region of Italy , where hospitals were overloaded and an increasing number of medical staff are under quarantine after testing positive for the virus .
Nearly 10 % of COVID-19 patients in Lombardy required intensive care , which stretched resources to their breaking point .
Other countries @ @ @ @ @ @ @ “ flattening the curve ” of the pandemic .
In other words , preventing and delaying the spread of the virus so that large portions of the population aren ’ t sick at the same time .
While all the countries on this tracker are united behind a common goal – stamping out COVID-19 as soon as possible – each country has its own approach and unique challenges when it comes to keeping their population safe .
Of course , countries that are just beginning to experience exponential growth in case numbers have @ @ @ @ @ @ @ elsewhere , and adopting ideas that are proving successful at slowing the rate of infection .
Many jurisdictions are implementing some or all of these measures to help flatten the curve : • Placing hard limits on the size of crowds at events The following chart explains why this last measure is critical to limiting the spread of the virus .
In scenario B above , which assumes just 20,000 active cases of COVID-19 in the U.S. , there ’ s nearly a 50 % chance an infected person will be attending a @ @ @ @ @ @ @ This is precisely the reason why temporary limits on crowd size are popping up in many jurisdictions around the world .
Direct losses due to canceled tech conferences alone , such as SXSW and the Electronic Entertainment Expo , have already surpassed the $ 1 billion mark , but despite the short-term economic pain of cancellations and decreased entertainment spending , the costs of business-as-usual could be incalculable .

by visualcapitalist
At the outset of 2020, the world looked on as China grappled with an outbreak that seemed be spiraling out of control.
Two months later, the situation is markedly different. After aggressive testing and quarantine efforts, China’s outbreak of Novel Coronavirus (COVID-19) appears to be leveling off.
Now, numerous countries around the world are in the beginning stages of managing their own outbreaks. March 15th, 2020, marked a significant statistical milestone for this, as confirmed cases of COVID-19 outside of China surpassed the Chinese total.
The tracker above, by Our World in Data, charts the trajectory of the growing number of countries with more than 100 confirmed cases of COVID-19. As the number of new infections reported around the world continues to grow, which countries are winning the battle against COVID-19, and which are still struggling to slow the rate of infection?
What’s Your National Infection Trajectory?
As of publishing time, 39 countries have passed the threshold of 100 confirmed cases, with many more countries on the cusp. By comparing infection trajectories from the 100 case mark, we’re able to see a clearer picture of how quickly the virus is spreading within various countries.
A rapid “doubling rate” can spell big trouble, as even countries with advanced healthcare systems can become overwhelmed by the sheer number of cases. This was the case in the Lombardy region of Italy, where hospitals were overloaded and an increasing number of medical staff are under quarantine after testing positive for the virus. Nearly 10% of COVID-19 patients in Lombardy required intensive care, which stretched resources to their breaking point.
We are primarily funded by readers. Please subscribe and donate to support us!
Other countries are looking to avoid this situation by “flattening the curve” of the pandemic. In other words, preventing and delaying the spread of the virus so that large portions of the population aren’t sick at the same time.
Original concept by Drew Harris
Everything’s Canceled
While all the countries on this tracker are united behind a common goal – stamping out COVID-19 as soon as possible – each country has its own approach and unique challenges when it comes to keeping their population safe. Of course, countries that are just beginning to experience exponential growth in case numbers have the benefit of learning from mistakes made elsewhere, and adopting ideas that are proving successful at slowing the rate of infection.
Many jurisdictions are implementing some or all of these measures to help flatten the curve:
Quarantining
Encouraging social distancing
Encouraging working from home
Closing schools and other institutions
Placing hard limits on the size of crowds at events
The following chart explains why this last measure is critical to limiting the spread of the virus.
In scenario B above, which assumes just 20,000 active cases of COVID-19 in the U.S., there’s nearly a 50% chance an infected person will be attending a 10,000 person conference or sporting event. This is precisely the reason why temporary limits on crowd size are popping up in many jurisdictions around the world.
Direct losses due to canceled tech conferences alone, such as SXSW and the Electronic Entertainment Expo, have already surpassed the $1 billion mark, but despite the short-term economic pain of cancellations and decreased entertainment spending, the costs of business-as-usual could be incalculable.


investmentwatchblog--2020-03-17--Visualizing The Coronavirus Stock Market Meltdown

Coronavirus panic is sweeping the world , forcing governments to take unprecedented steps to slow the pandemic .
Schools are closed , bars are shutting down and public events are called off .
The world is likely headed into a severe recession , causing stock prices to plummet as people cash out and sell everything .
Here ’ s the latest on the extent of the damage for the share prices for several key companies .
Donate Now to the WHO to Help Fight the Coronavirus • The share price of Lyft suffered the most dramatic fall in our analysis @ @ @ @ @ @ @ 11 to $ 23.88 on March 12 , or -53.73 % .
• Several major companies have lost almost half their value in the last several weeks , including Pinterest ( -47.18 % ) , Expedia ( -46.84 % ) and Citigroup ( -46.84 % ) .
• No company in our visualization is escaping the turmoil , even as Americans stock up on cleaning supplies from companies like Johnson & Johnson ( -18.04 % ) at stores such as Walmart ( -13.14 % ) .
• The U.S. stock market remains highly @ @ @ @ @ @ @ This presents key opportunities for investors with a long time horizon and the fortitude to outlast price instability .
Collecting the data for such a dramatic drop in stock prices was relatively straightforward .
First , we picked several well-known companies across key sectors in the economy , including IT , media , transportation and banking .
Then , we looked up the highest closing stock price for each company this year and compared it to the closing price on March 12 , 2020 .
Finally , we calculated the percentage drop in @ @ @ @ @ @ @ by company name .
This lets you easily and quickly see how the U.S. stock market has imploded over the last couple months .
The 10 Biggest Stock Price Drops in Our Visual : Stock markets around the world are collapsing before our eyes .
The Nikkei Index from Japan is off more than 19 % so far this year .
The FTSE 100 in London is down almost 2,500 points since last month , more than 30 % over the last year .
In the U.S. , the S & P 500 @ @ @ @ @ @ @ morning , triggering another 15-minute halt in trading to stabilize prices .
Our visualization puts all of this carnage into perspective by analyzing the specific prices of companies most people would recognize .
Donate Now to the WHO to Help Fight the Coronavirus The situation in the transportation sector is likewise grim .
Of all the stocks we analyzed , shares of Lyft have performed the worst , shedding an incredible -55.73 % of value since February 11 .
Its main competitor , Uber , is not far behind , losing an astonishing @ @ @ @ @ @ @ If bars , restaurants and universities are all closing around the world , it ’ s safe to assume these companies are going to fall even more .
Donate Now to the WHO to Help Fight the Coronavirus The coronavirus pandemic is causing a lot of people to load up on groceries , cleaning supplies and other necessities .
Panic buying is now widespread , with multiple reports of empty store shelves and shortages of hand sanitizer .
But this doesn ’ t mean consumer goods companies are enjoying high market valuations .
@ @ @ @ @ @ @ in tandem with the rest of the market .
Walmart is down “ only ” -13.14 % after hitting a record high as recently as March 3 .
Johnson & Johnson is likewise down -18.04 % , and Amazon is off -22.74 % even as it runs out of inventory trying to meet consumer demand .
Donate Now to the WHO to Help Fight the Coronavirus The banking and finance sector isn ’ t faring any better either .
Bank of America is off -42.09 % , Goldman Sachs is down -39.29 % @ @ @ @ @ @ @ .
But Citigroup is in the worst shape , having dropped from $ 81.37 to just $ 43.26 per share over two months , or -46.84 % in value .
It ’ s still too early to know if major financial institutions are going to need bailouts like they did in 2008-09 , however the rapidly spiraling downward trend is very troubling .
There are a couple caveats to keep in mind about our visualization .
Prices will continue to rapidly change .
As of this writing , the stock market is experiencing @ @ @ @ @ @ @ .
Over the last several days , markets have been collapsing , then roaring back , and collapsing again .
The recent drops are also happening after nearing all-time highs , meaning stocks may have been due for a correction anyway .
This presents some key opportunities for investors who have the risk tolerance to wait out the coronavirus .
Are you planning on investing in stocks ?
Moving into cryptocurrency ?
Or are you hoarding cash ?
Let us know in the comments .

by howmuch
Coronavirus panic is sweeping the world, forcing governments to take unprecedented steps to slow the pandemic. Schools are closed, bars are shutting down and public events are called off. The world is likely headed into a severe recession, causing stock prices to plummet as people cash out and sell everything. Here’s the latest on the extent of the damage for the share prices for several key companies.
Donate Now to the WHO to Help Fight the Coronavirus
The share price of Lyft suffered the most dramatic fall in our analysis, tumbling from $53.94 on February 11 to $23.88 on March 12, or -53.73%.
Several major companies have lost almost half their value in the last several weeks, including Pinterest (-47.18%), Expedia (-46.84%) and Citigroup (-46.84%).
No company in our visualization is escaping the turmoil, even as Americans stock up on cleaning supplies from companies like Johnson & Johnson (-18.04%) at stores such as Walmart (-13.14%).
The U.S. stock market remains highly volatile given the rapidly changing situation. This presents key opportunities for investors with a long time horizon and the fortitude to outlast price instability.
Collecting the data for such a dramatic drop in stock prices was relatively straightforward. First, we picked several well-known companies across key sectors in the economy, including IT, media, transportation and banking. Then, we looked up the highest closing stock price for each company this year and compared it to the closing price on March 12, 2020. Finally, we calculated the percentage drop in price and arranged the resulting visuals alphabetically by company name. This lets you easily and quickly see how the U.S. stock market has imploded over the last couple months.
The 10 Biggest Stock Price Drops in Our Visual:
1. Lyft: -55.73%
2. Pinterest: -47.18%
3. Expedia: -46.84%
4. Citigroup: -46.84%
5. Snapchat: -45.87%
6. Uber: -45.21%
7. BeyondMeat: -42.72%
8. Ford: -42.24%
9. Bank of America: -42.09%
10. Goldman Sachs: -39.29%
Stock markets around the world are collapsing before our eyes. The Nikkei Index from Japan is off more than 19% so far this year. The FTSE 100 in London is down almost 2,500 points since last month, more than 30% over the last year. In the U.S., the S&P 500 opened more than 8% down Monday morning, triggering another 15-minute halt in trading to stabilize prices. Our visualization puts all of this carnage into perspective by analyzing the specific prices of companies most people would recognize.
We are primarily funded by readers. Please subscribe and donate to support us!
Donate Now to the WHO to Help Fight the Coronavirus
The situation in the transportation sector is likewise grim. Of all the stocks we analyzed, shares of Lyft have performed the worst, shedding an incredible -55.73% of value since February 11. Its main competitor, Uber, is not far behind, losing an astonishing -45.21% in the same timeframe. If bars, restaurants and universities are all closing around the world, it’s safe to assume these companies are going to fall even more.
Donate Now to the WHO to Help Fight the Coronavirus
The coronavirus pandemic is causing a lot of people to load up on groceries, cleaning supplies and other necessities. Panic buying is now widespread, with multiple reports of empty store shelves and shortages of hand sanitizer. But this doesn’t mean consumer goods companies are enjoying high market valuations. Instead, their share prices are falling in tandem with the rest of the market. Walmart is down “only” -13.14% after hitting a record high as recently as March 3. Johnson & Johnson is likewise down -18.04%, and Amazon is off -22.74% even as it runs out of inventory trying to meet consumer demand.
Donate Now to the WHO to Help Fight the Coronavirus
The banking and finance sector isn’t faring any better either. Bank of America is off -42.09%, Goldman Sachs is down -39.29% and Visa lost -24.95% in value. But Citigroup is in the worst shape, having dropped from $81.37 to just $43.26 per share over two months, or -46.84% in value. It’s still too early to know if major financial institutions are going to need bailouts like they did in 2008-09, however the rapidly spiraling downward trend is very troubling.
There are a couple caveats to keep in mind about our visualization. Prices will continue to rapidly change. As of this writing, the stock market is experiencing extreme volatility, the highest since 2009. Over the last several days, markets have been collapsing, then roaring back, and collapsing again. The recent drops are also happening after nearing all-time highs, meaning stocks may have been due for a correction anyway.
This presents some key opportunities for investors who have the risk tolerance to wait out the coronavirus. Are you planning on investing in stocks? Moving into cryptocurrency? Or are you hoarding cash? Let us know in the comments.