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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: sense who wrote (154435)3/15/2020 10:40:27 PM
From: sense  Read Replies (2) | Respond to of 217815
 
Proven wrong already...

They're not going to act on Monday... because they just did... five hours ago, already:

Coronavirus outbreak: U.S. taskforce provides update on COVID-19 pandemic response



To: sense who wrote (154435)3/16/2020 9:18:55 AM
From: RetiredNow1 Recommendation

Recommended By
Secret_Agent_Man

  Respond to of 217815
 
That's dark, sense. I agree with a lot of your post, though. I think what we're seeing is the younger folks on Wall Street have never seen anything like this before. I'm a bit older (an older Gen X person), so I see patterns. Nothing new under the sun. The pin that pricked the bubble is different this time around, but bubbles were made to pop and if it weren't the coronavirus, it would have been something else.

This could very well be worse than the Great Financial Recession, and if the global economy comes to a standstill for a couple months, the trough could be worst than the Great Depression. But the sun will come up tomorrow and life will go one. The Brits have it right when they say, "Keep Calm and Carry On". I have my buy plan in place and will be buying in small increments throughout this entire crisis. I'm not a BTFDer, because I buy more slowly and when I buy, I hold very long term. You should know that when all this started I had been in short duration bonds and cash for the prior two years, since late Summer of 2017. Many people derided me, because I was early, but my bonds earned me 8-9% during that time, which was far more than I needed to live in on my retirement.

Then when I started seeing what was happening in China, I reached out to some tech friends of mine to discuss what they were seeing in terms of impact to supply chains. That's when I knew this was the Black Swan that would pop the bubble. I posted about that to Rarebird on my on "US Inflation and What to Do About It" thread and to a few other people, but I got the sense that no one believed me. I called it and I've been implementing my buy plan for stocks, which I wrote out to myself in a set of rules two years ago.

This too shall pass, my friend, but not before the pain is far more extreme and not before people who are buying, like me, will question whether they are doing the right thing. It won't be over until buying stocks hurts so much that most people stop buying anything. I suspect we'll see a minimum of 30-40% down from peak SPY (~$220) and quite possibly 50% down ($~169) before this rout is over.

It's going to get ugly, but the world will not end. It will just change hands.



To: sense who wrote (154435)3/16/2020 10:38:40 AM
From: TobagoJack  Read Replies (2) | Respond to of 217815
 
Sounds right, sexy, terrifying

A strange mixture

In the meantime, in my domain of residence back in Asia

bloomberg.com

Hong Kong Shutdown Is a Lesson to the World in Halting the Virus
Iain MarlowMarch 16, 2020, 12:00 PM GMT+2



A near-empty in Central district, Hong Kong, in January.

Photographer: Billy H.C. Kwok/Bloomberg
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As the world struggles with the rapid spread of Covid-19, Hong Kong appears to be having success controlling it -- in part because the memory of a similar virus in 2003 prompted a public outcry early on.

Hong Kong’s government quickly implemented restrictive “social distancing” measures now being hotly debated around the world, in part because of pressure from medical workers to close its border with China at the beginning of the outbreak. Those included closing schools, canceling large-scale events, shutting government offices and ordering civil servants to work from home -- a move that many companies quickly followed.



Hong Kong’s experience with Severe Acute Respiratory Syndrome -- which killed almost 300 people of more than 1,700 infected, the most outside of mainland China -- impacted the psychology of the city, said Nicholas Thomas, an associate professor at the City University of Hong Kong. Many residents wore surgical masks and avoided gatherings from the very start of the outbreak, a practice that continues more than six weeks later.

“As soon as the virus started to break out, and people read ‘China’ and ‘coronavirus,’ people remembered,” said Thomas, who has edited an academic book series titled “Health Security and Governance.” “The social part is one of the reasons why we’ve been able to keep the virus cases so low, because in some way the public has been able to make the government take measures.”

Spread of Coronavirus Has Slowed in AsiaEurope, U.S. seeking ways to reduce increase in infections

Sources: World Health Organization, Bloomberg reporting as of March 12, 2020 12:00 GMT

Note: WHO reporting began on Jan. 21. Chart shows only the first 25 days with more than 100 cases for each area.

In recent days, the virus’s spread in the U.S. -- highlighted by the National Basketball Association’s decision to suspend the season -- has driven home the need to avoid large gatherings, even as some government officials have maintained there’s no reason to panic. Recent high-profile infections, including actor Tom Hanks, the Australian home affairs minister and the wife of Canadian Prime Minister Justin Trudeau, also underscore the need to take early precautions.

Most of Hong Kong’s restrictions were put in place at the end of January, when the city had only a handful of cases. As of Monday, it had 139 cases in total, and only four deaths. By contrast South Korea didn’t start taking unprecedented measures until Feb. 23, when hundreds had already been infected. It has now seen more than 8,100 people infected and 75 deaths.

New York City also acted much later by comparison. On Sunday evening, Mayor Bill de Blasio announced that public schools would be shut from March 16 as the city’s tally soared over the weekend to 329 confirmed cases and five deaths.



For Hong Kong, the relative success marks a bit of good news in what has been a devastating 12 months for the economy. The virus is further curbing growth after violent pro-democracy protests periodically shut down large parts of the city in the second half of 2019, prompting Beijing-appointed leader Carrie Lam’s popularity to plummet.

The effective virus response hasn’t helped Lam much. She initially resistedpublic pressure to fully shut the border with China, relenting only as thousands of medical workers began a strike that put pressure on officials and the health system. Her approval rating rose to 13% on March 3 from just 9% on Feb. 27, according to the latest survey released by the Hong Kong Public Opinion Program.

Earlier InterventionDeploying measures early can have a dramatic effect. Research on the 1918 influenza pandemic in the U.S. showed cities that had implemented multiple “non-pharmaceutical interventions,” including closing schools and churches, experienced death rates that were as much as 50% lower -- as well as less severe outbreaks -- than those that did not.

Medical researchers estimated China could’ve reduced the number of confirmed Covid-19 cases by as much as 95% if officials had implemented non-pharmaceutical interventions -- from containment and isolation to social distancing -- just three weeks earlier than they did. Even implementing them one week earlier would have reduced China’s cases by 66%, while the number could’ve jumped 18 times if such measures came three weeks later, according to the study this month funded in part by the Bill & Melinda Gates Foundation.

Hong Kong Visitors Drop Record 96% Because of Coronavirus: Chart

Social distancing measures can be a critical part of stopping the virus after governments have already implemented other containment measures, said Benjamin Cowling, a professor and co-director of the World Health Organization Collaborating Centre for Infectious Disease Epidemiology and Control at Hong Kong University’s School of Public Health.

Governments need to conduct tests to identify and quarantine infected people and those with whom they’ve had contact, while also reducing imported cases from overseas, Cowling said. Once an outbreak has occurred and it becomes more difficult to track down suspected cases, social distancing measures like closing schools, working from home and voluntarily avoiding crowded areas is key, he said.

“Social distancing becomes more important if there’s sustained transmission in the community and we want to slow it down, because at that point, the first two measures won’t be as effective,” he said. “And hopefully the U.S. and Europe and other countries can learn from Hong Kong and Singapore in how social distancing can be applied and how our populations can be aware.”

Airlines Slash Flights Across Globe As Demand Disintegrates

Singapore -- which did not close schools or offices -- initially saw success containing the virus, but has more recently seen a second wave of cases that brought its total to 226. Recent cases seem to have mostly been imported from abroad, rather than through local transmission. Taiwan, which has carefully screened flights from China and has ordered strict fines for quarantine breakers as high as $33,228, has also seen success -- with just 59 cases and one death.

Hong Kong is now also worried about a second wave of cases. A local newspaper lambasted expats gathering in bars without masks -- showing that social pressure for social distancing continues in spite of government measures.

“There is a strong responsibility of people to adhere to social norms and respect the wider community,” said Thomas from City University. “There’s been an awareness in the last two decades that these problems are there and that we have to do something about it.”

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