Financial Concerns from CoVid19 Virus

 Hat Tip to John West's Daily Big Threat Blog:

Financial Fallout From Coronavirus Outbreak Could Be Severe
https://www.voanews.com/science-health/coronavirus-outbreak/financial-fallout-coronavirus-outbreak-could-be-severe

While the global community hurries to try to slow or halt the spread of the coronavirus virus, officials do so knowing that whether the outbreak is contained or not, it will likely create severe economic costs that will have an impact far beyond China’s borders. ---CONTINUED---

DISNEY is worried about loosing theme park business  ... Oke ... to be fair other industries are worried too ...

 Hat Tip to John West's Daily Big Threat Blog:

Spreading Coronavirus Could Affect U.S. Media, Concerns Mount Over Disney Properties
https://www.mediapost.com/publications/article/346399/spreading-coronavirus-could-affect-us-media-con.html?edition=117013

(SNIP) ... The spread of coronavirus in China and potentially beyond could have negative near-term business results for U.S. media and entertainment companies, according to one media/entertainment analyst.

 Hat Tip to John West's Daily Big Threat Blog:

Coronavirus: Chips, display panels could get more expensive
https://www.hindustantimes.com/tech/coronavirus-chips-display-panels-could-get-more-expensive/story-92uWMZGeKSeAsjurnNev0I.html

The spread of coronavirus in China is likely to push up prices of semiconductors and display panels, analysts said on Wednesday, amid possible supply chain disruptions of key industrial materials.

China, where the outbreak originated, is home to manufacturing facilities of many of South Korea’s major tech firms, including Samsung Electronics Co. and SK hynix Inc.

The companies said they are trying to keep their plants in China running amid the spread of the deadly coronavirus, while setting up contingency plans to prepare for the worst situation, Yonhap news agency reported.   ---continued---

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus Rolls Through Global Economy - Impacts on GDP
https://www.investorideas.com/news/2020/china/02061Coronavirus-GDP.asp

(SNIP) ... If the current and unprecedented confinement measures in China stay in place until the end of February, and are lifted progressively beginning in March, the resulting economic impact will be concentrated in the first half of 2020, with a reduction of global real GDP of 0.8% in Q1 and 0.5% in Q2. In this scenario, the coronavirus and resulting measures will reduce global real GDP by 0.4% in 2020. Conversely, we expect the lifting of the confinement measures to add 0.4% to global real GDP in 2021, as the release in pent-up demand filters through the economy (see graph below).

On the other hand, if confinement measures begin to lift on February 10, the impact on global GDP will be more limited, resulting in a 0.1% reduction in global GDP growth in 2020 and 0.4% reduction in China's annual growth. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus outbreak likely to hit yarn, garment exporters
https://www.financialexpress.com/market/coronavirus-outbreak-likely-to-hit-yarn-garment-exporters/1859241/

(SNIP) ... Indian exporters/importers of readymade garment, cotton yarn, fibres and fabric are likely to be impacted due to the outbreak of coronavirus. With toll crossing over 550 across the globe and victims mostly in China, any further prolong of the outbreak will take a toll on thousands of crores of business transactions being done annually between buyers and sellers in the textile sector of the two countries.

Chinese buyers generally begin their annual sourcing from Indian exporters in January every year. However, this time due to coronavirus, buyers from China have not come forward so far for any trade transaction. China has curtailed movement of people in some parts of the country on a temporary basis. It remains to be seen how things will turn out, going forward. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Commodity Shipping Faces ‘Crisis in Demand’ on Virus Outbreak
https://gcaptain.com/commodity-shipping-faces-crisis-in-demand-on-virus-outbreak/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+Gcaptain+%28gCaptain.com%29

(SNIP) ... The spreading health emergency in Asia’s top economy, the world’s largest importer of iron ore, has sent shock waves through raw material markets, and the companies that ferry goods across the world’s oceans. Freight rates have swooned amid gathering indications that demand for cargoes will slump.

There are signs of congestion building up at ports, and reports mills are cutting output, Rahul Kapoor, global head of commodity analytics and research for maritime and trade, told Bloomberg Television. The virus will hit China’s growth by as much as 1%, which is negative for shipping demand, he said.

The shipping industry is facing a “crisis in demand in the near term” as its heavily reliant on Chinese business, Kapoor said. “The first quarter is already a wipeout, at least for the commodity shippers,” he said. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

China Coronavirus Lockdown Crippling Global Supply Chain
https://www.voanews.com/science-health/coronavirus-outbreak/china-coronavirus-lockdown-crippling-global-supply-chain

With more than 50 million people on lockdown, economists warn China’s efforts to contain the coronavirus outbreak are reverberating through the global economy.

For two weeks major airlines have either scaled back or outright cancelled service to China, and many global retailers, including coffee chain Starbucks and furniture giant Ikea, have announced that they are temporarily closing outlets there. Yum brands, the owner of well-known fast food chains including KFC and Pizza Hut, said that it had been forced to close nearly a third of its stores in the country. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Toyota keeping China plants closed through Feb. 16 over coronavirus
https://www.autoblog.com/2020/02/07/toyota-keeping-china-plants-closed/

Automakers worry they may need to start making parts elsewhere

TOKYO — Toyota on Friday said production at all of its China plants would remain suspended through Feb. 16, joining a growing number of automakers facing stoppages due to supply chain issues as the coronavirus spreads.

The Japanese automaker, which operates 12 vehicle and components factories in China, said it would extend its production stoppage "after considering various factors, including guidelines from local and region governments, parts supply, and logistics.   ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Carmakers and coronavirus: A list of plant closures in China
https://www.autoblog.com/2020/02/07/coronavirus-automakers-plant-closures-list/

Automakers and parts suppliers have shut factories in China, in line with government guidelines, or have flagged a hit to profits following the coronavirus outbreak. Below is a list of latest announcements by car companies:

• BMW said production at its plant in Shenyang will resume on Feb. 17. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus Could Cause Shortage Of Products And Rising Prices At American Retail Stores
https://pittsburgh.cbslocal.com/2020/02/07/impact-of-coronavirus-on-us-products-and-stores/

While the health impact of coronavirus is on everyone’s minds, there is a looming crisis for American consumers — a shortage of Chinese made products on store shelves.

“Two weeks or less.”

That’s the prediction of David Iwinski, a Pittsburgh-based Chinese trade expert who ran a factory in China for five years.

He said the quarantine of millions of Chinese people will create a product shortage as workers in China cannot get to work.

“The people that are running the factories simply don’t have labor. The labor is still locked,” Iwinski told KDKA money editor Jon Delano on Friday.

Many of American retail stores depend on China to fill their shelves.

“It wouldn’t surprise me at all if somewhere in the order of eighty to ninety percent of what’s on their shelves is exclusively China or has a critical China component,” Iwinski said. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus Means China Must Realign Its Worldview
https://www.newsmax.com/michaellaitman/global-interdependence-apple-mcdonalds/2020/02/10/id/953362/

In addition to the illness, death and fear that the coronavirus has effectuated, the global economy has suffered a major $160 billion blow.

In China, Apple, McDonald’s, Starbucks and dozens of other chains have closed their stores. Entire cities have been shut down and most of the "Made in China" industry has been frozen.

Humanity has yet to digest the magnitude of disruption that China, the country with the world’s largest population, can inflict. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

What to know about travel insurance amid coronavirus outbreak
https://www.bnnbloomberg.ca/what-to-know-about-travel-insurance-amid-coronavirus-outbreak-1.1387787

VANCOUVER — Travellers nervous about globe-trotting during the novel coronavirus outbreak may be eligible to receive a refund for cancelling their travels, say insurance experts, but it depends on the destination, their insurance policy and other factors. ---CONTINUED---

Hat Tip to 'Commonground', FluTrackers:

FedEx allowing pilots to decline trips to China over the coronavirus outbreak
http://wreg.com/2020/02/08/fedex-allowing-pilots-to-decline-trips-to-china-over-the-coronavirus-outbreak/

POSTED 9:37 PM, FEBRUARY 8, 2020, BY ZACHARY DOWNES AND CNN WIRE, UPDATED AT 03:21PM, FEBRUARY 9, 2020

MEMPHIS, Tenn. — FedEx is allowing its pilots to opt out of trips to China while world health officials are working to contain the coronavirus.

FedEx released a statement on the matter Saturday night:

“The safety and well-being of our team members is always our top priority, and we continue to closely monitor developments related to the coronavirus. Throughout this situation, we have been in constant communication with our crew force regarding our flight operations in China. We can confirm that we have reached an agreement with our pilots that allows crew members to voluntarily decline trips into China.”

This is a result of an agreement between the Memphis-based shipping company and the Air Line Pilots Association on Saturday.

Hat Tip to 'Commonground', FluTrackers:

UPS and pilots union to make flights to and from China voluntary
https://www.cbsnews.com/news/ups-and-pilots-union-agree-to-make-flights-to-china-voluntary/

FEBRUARY 5, 2020

The union representing United Parcel Service pilots on Wednesday said it had reached an agreement with the shipping giant making flights in and out of China voluntary due to the deadly and rapidly spreading coronavirus.

"Following days of discussions, UPS agreed and signed a Coronavirus Letter of Agreement with the IPA that gives our pilots the right to take a personal leave of absence for trips containing a flight segment into, or out of, mainland China," Robert Travis, president of the Independent Pilots Association, said in an emailed statement.

Hat Tip to 'tetano', FluTrackers:

Amazon: Important notification regarding impacts of the Novel Coronavirus
https://www.ecommercebytes.com/C/abblog/blog.pl?/pl/2020/2/1581173079.html

Today, 08:13 AM
Sat Feb 8 2020 09:44:39

Amazon posted the following message on the Amazon Seller Central portal on Friday evening:

Important notification regarding impacts of the Novel Coronavirus

We are aware that the Novel Coronavirus and related actions are impacting millions of individuals around the world.

If your business operations may be impacted, we recommend taking precautions to protect your Amazon seller account health. These precautions may include canceling previously placed orders that you are no longer able to fulfill, placing your account in vacation status, or taking additional steps to manage your inventory. You can learn more on relevant Help pages in Seller Central:

- Order cancellations
- Listing status for vacations, holidays, and other absences
- Update your listings from the Manage Inventory page

If your performance metrics have been impacted by this event, please include a brief description of how your business was impacted when you respond to the relevant performance notification in Seller Central. We will consider this unforeseen event when we evaluate your account's recent performance.

Sellers' reactions to the announcement varied. One applauded the move, another said not to expect much leeway from the company given its history of dealing with impacts from weather-related events. Another wondered if Amazon would offer leniency if sellers' operations were impacted by the flu.

Online sellers have been discussing the coronavirus outbreak as it spread, with some pondering about possible opportunities that shortages of masks at local retail stores might present them.

The LA Times said face-mask hoarding is already happening in Asian countries, though it noted, "Medical experts say it is more important to wash your hands than to wear a mask."

Hat Tip to 'Commonground', FluTrackers:

Factbox: Airlines suspend China flights due to coronavirus outbreak
https://www.reuters.com/article/us-china-health-airlines-factbox/factbox-airlines-suspend-china-flights-due-to-coronavirus-outbreak-idUSKBN2040G9

Airlines are suspending flights to China in the wake of the new coronavirus outbreak.

Below are details (in alphabetical order):
AIRLINES THAT HAVE CANCELED ALL CHINA FLIGHTS

- American Airlines - Jan. 31-March 27. Hong Kong service suspended Feb. 8-March 27.

- Air France - Said on Feb.6 it would suspend flights to and from mainland China for much of March ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus scare hits Chinese food business
https://www.deccanchronicle.com/nation/current-affairs/130220/coronavirus-scare-hits-chinese-food-business.html

Even big, reputed restaurants, known for their Chinese cuisine have taken a hit, because of the cornonavirus scare.

The ongoing global coronavirus crisis appears to have hit the palate of people in the city, with street vendors selling Chinese food reporting a steep drop in demand and sale. Wholesale suppliers also say that sales of ingredients used in preparation of Chinese food have seen a dip since the outbreak of the disease.

Rashid, who owns an Indian food stall near the LB Stadium, said that his sales are down to half because of fears that since coronavirus emerged in China, all Chinese food could be dangerous now. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus has many U.S. firms waiting for products to ship
https://abcnews.go.com/US/wireStory/coronavirus-us-firms-waiting-products-ship-68939207

Many small business owners in the U.S. are facing a shortage of products or components because Chinese suppliers, who closed for the weeks-long Lunar New Year holiday, remain shut due to the coronavirus outbreak ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

The Economic Cost of Quarantine
https://www.businesswire.com/news/home/20200214005267/en

SHANGHAI--(BUSINESS WIRE)--As efforts to contain the COVID-19 epidemic continue, it is important to give consideration to the implications of the response for the economy and life expectancy. author: James Liang, Co-founder and executive chairman of the board Trip.com Group Ltd. (Nasdaq: TCOM) * The opinions expressed here is his own. The Trip.com Group Ltd. was not involved in its creation. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Q&A: Coronavirus likely to infect the global economy
https://phys.org/news/2020-02-qa-coronavirus-infect-global-economy.html

The rapid development of China's coronavirus crisis coincided with the annual idling of much of the country's economic activity due to the Lunar New Year break, which typically runs for a week or two. Global economists have been watching the post-holiday economic restart closely. Delayed a week to allow public health officials to get a better handle on the contagion, experts are looking for clues about the extent to which one of the world's largest economies is coming back to life amid widespread coronavirus concerns ---CONTINUED---

How the global economy will/is being affected by the coronavirus. Apple has already announced that it will not meet its quarterly sales, U.S. airlines have already lost hundreds of millions of dollars and the list goes on and will get worse:

https://www.weforum.org/agenda/2020/02/coronavirus-economic-effects-global-economy-trade-travel/

Update on the coronavirus and the affect on the global economy:

https://www.theguardian.com/world/2020/feb/19/coronavirus-could-cost-global-economy-1tn-in-lost-output

Long read, but worth it. Might be good for passing along, too!

Hat Tip to FluWiki, Facebook:

The Cost Of Covid-19 Quarantine: Will You Be Financially Prepared?
https://www.zerohedge.com/personal-finance/cost-covid-19-quarantine-will-you-be-financially-prepared?fbclid=IwAR2F_5dDB1Golf-TgsqUzGcpHaa-tqIOU0zniu64ct8YJLBkP_GqU2ZH4P8

(BIG SNIP) ... A great deal has been written about the economic hits on a global scale as well as the shortages we could soon expect as production in China grinds to a halt, but what about simply being able to pay your rent when your workplace or business is ordered to shut its doors?

Something nobody is really talking about is the financial hit that people will be taking during such closures. This is a very real concern, and for families who already live paycheck to paycheck, the loss of income could prove devastating.   ---CONTINUED---

Hat Tip to FluWiki, Facebook:

Coronavirus outbreak could cause shortages of 150 drugs: report
https://thehill.com/policy/healthcare/484276-coronavirus-outbreak-could-cause-shortages-of-150-drugs-report

A worsening coronavirus outbreak reportedly could threaten shortages of about 150 prescription drugs, several of them with no alternatives.

China’s role in supplying the ingredients used in medications means that decreased Chinese production capability amid the outbreaks could threaten supplies of the drugs, which include antibiotics, generics, and branded drugs, two sources familiar with a Food and Drug Administration (FDA) list of at-risk drugs told Axios. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Markets Plunge, Dow Drops 900 Points As Global Coronavirus Outbreak Worsens
https://www.forbes.com/sites/sergeiklebnikov/2020/02/24/markets-plunge-dow-drops-900-points-as-global-coronavirus-outbreak-worsens/#2114c6006658

U.S. stocks are set to open sharply lower on Monday following steep drops in European and Asian markets, as the number of coronavirus cases outside of China surged over the weekend, with Italy and South Korea becoming the latest two major economies at risk from the outbreak. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

More Thoughts on COVID-19 Supply Chain Disruptions
https://www.fxstreet.com/analysis/more-thoughts-on-covid-19-supply-chain-disruptions-202002241417

COVID-19 has spread outside of China, which presents more risk to American supply chains. The economically important U.S. transportation equipment industry has high exposure as well.

News this weekend suggests that COVID-19 is starting to spread outside of China, with the number of confirmed cases in Japan and South Korea jumping. Although China claims the top spot as the most important country for American imports (more than $450 billion in 2019), the United States imported more than $140 billion worth of goods from Japan last year and nearly $80 billion from Korea (top chart). Together, these three countries accounted for more than 25% of total American imports last year. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

How Coronavirus Could Impact the Global Supply Chain by Mid-March
https://hbr.org/2020/02/how-coronavirus-could-impact-the-global-supply-chain-by-mid-march

Reports on how the Covid-19 outbreak is affecting supply chains and disrupting manufacturing operations around the world are increasing daily. But the worst is yet to come. We predict that the peak of the impact of Covid-19 on global supply chains will occur in mid-March, forcing thousands of companies to throttle down or temporarily shut assembly and manufacturing plants in the U.S. and Europe. The most vulnerable companies are those which rely heavily or solely on factories in China for parts and materials. The activity of Chinese manufacturing plants has fallen in the past month and is expected to remain depressed for months. ---CONTINUED----

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus threatens US malls as nearly six in 10 shoppers plan to avoid such areas if the outbreak worsens, survey says
https://www.businessinsider.com/coronavirus-threatens-us-shopping-malls-2020-3

US shopping malls could be "hit hard" if the coronavirus outbreak worsens, according to a new survey by Coresight Research.

Nearly six in 10 people said they plan to avoid public areas if the spread of the novel virus continues, the survey found.

Shopping centers are among the top destinations that people said they plan to avoid. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus Could Be The End Of China As Global Manufacturing Hub
https://www.forbes.com/sites/kenrapoza/2020/03/01/coronavirus-could-be-the-end-of-china-as-global-manufacturing-hub/#31846b4d5298

The new coronavirus Covid-19 will end up being the final curtain on China’s nearly 30 year role as the world’s leading manufacturer.

“Using China as a hub...that model died this week, I think,” says Vladimir Signorelli, head of Bretton Woods Research, a macro investment research firm.

China’s economy is getting hit much harder by the coronavirus outbreak than markets currently recognize. ---CONTINUED---

Hat Tip to FluWiki, Facebook:

Coronavirus hoarding to boost these food companies
https://www.foxbusiness.com/markets/coronavirus-hoarding-boost-these-companies?fbclid=IwAR2T8ZByRwCyuAMfhJ7Sb11c9jQ9IXdDhPPq--kJTCEovZL7Ssj3MIz9FzM

Coronavirus fears are set to boost sales for a number of U.S. packaged food companies, according to one Wall Street analyst.

Store shelves in Oregon, California and other states were cleaned out in recent days as consumers stockpiled goods just in case the coronavirus outbreak causes lengthy home quarantines.

(SNIP) ... “We expect categories like canned soup, peanut butter, canned meat, cookies, crackers, pasta, pasta sauce, protein shakes, frozen food, and canned vegetables to benefit the most from stockpiling,” Lavery wrote. "Cereal is also likely to benefit, but does need milk, which can spoil and so would need a store trip at some point, which could deter some consumers from making it a pantrystock item of choice." ---CONTINUED---

ReadyMom wrote: Hat Tip to FluWiki, Facebook:

Coronavirus hoarding to boost these food companies
https://www.foxbusiness.com/markets/coronavirus-hoarding-boost-these-companies?fbclid=IwAR2T8ZByRwCyuAMfhJ7Sb11c9jQ9IXdDhPPq--kJTCEovZL7Ssj3MIz9FzM

Coronavirus fears are set to boost sales for a number of U.S. packaged food companies, according to one Wall Street analyst.

Store shelves in Oregon, California and other states were cleaned out in recent days as consumers stockpiled goods just in case the coronavirus outbreak causes lengthy home quarantines.

(SNIP) ... “We expect categories like canned soup, peanut butter, canned meat, cookies, crackers, pasta, pasta sauce, protein shakes, frozen food, and canned vegetables to benefit the most from stockpiling,” Lavery wrote. "Cereal is also likely to benefit, but does need milk, which can spoil and so would need a store trip at some point, which could deter some consumers from making it a pantrystock item of choice."   ---CONTINUED---

I like in the article where they say you'll have to make a trip to the store for milk since you can't keep it in your pantry. Evidently they're not preppers and have heard of powdered milk.

Hat Tip to FluWiki, Facebook:

From the News Desk: China is key to the impact coronavirus has on shipping
https://lloydslist.maritimeintelligence.informa.com/LL1131357/From-the-News-Desk-China-is-key-to-the-impact-coronavirus-has-on-shipping

The impact of the coronavirus outbreak on the shipping sector will be determined by when the Asian giant’s economic activity starts to bounce back

Analysts are still crunching the numbers when it comes to the full impact of coronavirus, but the signals so far are for a bleak short term, with the potential for prospects to brighten in the coming months depending on the ‘shape’ of China’s economic recovery

(SNIP) ... A REPORT published at the end of last month suggested that the impact of the coronavirus outbreak on container shipping so far was “just about bearable”.

However, Drewry warned in the document that the more widespread the cases of infection and the longer the outbreak lasts, the greater the damage will be. ---CONTINUED---

Hat Tip to FluWiki, Facebook:

Federal Reserve announces first emergency rate cut since the financial crisis
https://edition.cnn.com/2020/03/03/economy/federal-reserve-rate-cut/index.html?fbclid=IwAR2WuKDEbcnEg8Bglql9udERA4QnXK9iqWIE7mvOi8KHglNBpxcz99QmF_U

New York (CNN Business)The Federal Reserve slashed interest rates by half a percentage point on Tuesday, a bold attempt to give the US economy a jolt in the face of concerns about the coronavirus outbreak.
It was the first unscheduled, emergency rate cut since 2008, and it also marks the biggest one-time cut since then. The new benchmark interest rate is a range of between 1% and 1.25%. ---CONTINUED---

Hat Tip to John West's Daily Big Threat Blog:

Coronavirus outbreak causes record drop in world oil demand: Report
https://www.washingtonexaminer.com/policy/energy/coronavirus-outbreak-causes-record-drop-in-world-oil-demand-report

World oil demand will suffer the largest quarterly drop in history because of an unprecedented stoppage in economic activity in China due to the coronavirus outbreak.

Global oil demand in the first quarter of 2020 will be 3.8 million barrels per day lower than a year earlier, a steeper fall than what occurred during the 2009 financial crisis, according to a new projection Wednesday by London-based research group IHS Markit.

The previous largest decline in 2009 saw oil demand fall 3.6 million barrels per day in the first quarter. ---CONTINUED---

Global Manufacturing Index drops to the lowest in more than 10 years (maybe a lot longer). Global Manufacturing, except for the US has been down for almost two years, and the US has been dragging the world along behind us like a little that can't keep up.

https://moneymaven.io/mishtalk/economics/global-recession-now-baked-in-the-cake-nDwvDXbJk0uc8TeSMMdSIQ

We cannot drag them along any longer. Because of supply chain disruptions, our own manufacturing base will be slowing also.

(Just a word of caution, "Mish" is a genius at economics, but not at Politics or War. In fact, he is a bit of an idiot on those last two subjects. (The difference is that in Economics, the rules are set, even if some people break them. In politics and war, the rules are secret, and deception is the rule, not the exception.)

Hat Tip to FluTrackers:

Why the Coronavirus Could Threaten the U.S. Economy Even More Than China’s
https://www.nytimes.com/2020/03/06/business/coronavirus-economy-us-china.html

As a baseline, several factors work against the United States. China’s authoritarian government can quarantine entire cities or order people off the streets in a way that would be hard to imagine in America, presumably giving China an advantage in slowing the spread of the disease. . . .

Consider travel. The average American takes three flights a year; the average Chinese person less than half a flight. And the epidemiological disaster of the Diamond Princess has persuaded many people to hold off on cruises.

People may stop attending American sporting events. . . . But sports is a huge business in the United States. . . .

A major coronavirus epidemic in the United States might be like a big snowstorm that shuts down most economic activity and social interaction only until the snow is cleared away. But the coronavirus could be a “Snowmaggedon-style storm” that hits the whole country and lasts for months.

Anybody see the stock market today, what a mess, trading stopped three times. I think tomorrow will be a little worse, then I have some xtra $, so I'll be a player starting Wednesday or Thursday.

Coronavirus: Italy suspends mortgage payments amid lockdown
https://www.independent.co.uk/news/world/europe/coronavirus-italy-economy-mortgage-payments-symptoms-lockdown-latest-a9389486.html

Payments on mortgages are to be suspended in Italy due to the coronavirus outbreak, the country’s government has announced.

More than 9,000 people have been infected by Covid-19 in Italy, where the total number of reported deaths jumped to 463 on Monday – an increase of over 25 per cent compared to the day before.

When asked about the possibility of halting mortgage payments on Radio Anch’io, Laura Castelli, the deputy economy minister, said: ”Yes, that will be the case, for individuals and households.” ---CONTINUED---

President XI went to Wuhan to show that the region was "safe." While I don't buy that for a minute, what it will mean is the manufacturing based there should be back up and running at least mostly. They will simply tell workers to treat this virus the same as any typical cold virus, and ignore that some people are ending up in the hospital, or dead, from it.

This morning, before the Markets opened in Europe, the financial traders were placing bets that we would be in a recession of over two years (flooding the 10 yr T-Bond market with bids). If China's manufacturing recovers, the recession will be shallower, and shorter.

U.S. Orders Up To A Yearlong Break On Mortgage Payments
https://www.npr.org/2020/03/19/818343720/homeowners-hurt-financially-by-the-coronavirus-may-get-a-mortgage-break

Homeowners who have lost income or their jobs because of the coronavirus outbreak are getting some relief. Depending on their situation, they should be eligible to have their mortgage payments reduced or suspended for up to 12 months.

Federal regulators, through the mortgage giants Fannie Mae and Freddie Mac, are ordering lenders to offer homeowners flexibility. The move covers about half of all home loans in the U.S. — those guaranteed by Fannie and Freddie. But regulators expect that the entire mortgage industry will quickly adopt a similar policy.

Under the plan, people who have suffered a loss of income can qualify to make reduced payments or be granted a complete pause in payments. ---CONTINUED---

As pandemic unfolds, fear and finance collide
https://phys.org/news/2020-03-pandemic-unfolds-collide.html

Despite global efforts to stall the spread of the novel coronavirus, growing fears surrounding the pandemic have caused markets to respond with record-breaking volatility. On Monday, the nation's volatility index, often referred to as a "fear index," closed at the highest value in its 30-year history as the S&P 500 fell more than 7% within seconds of opening, triggering an automatic 15-minute stop in trading. Once trading resumed, the market posted its largest one-day point drop in history. ---CONTINUED---

Pandemic hitting small businesses and hourly workers hard: "I'm scared"
https://www.cbsnews.com/news/coronavirus-pandemic-small-businesses-hourly-workers-economic-fallout/

Unemployment claims are surging, as businesses shut their doors during this pandemic. The number of Americans affected by these closures is staggering; some experts say 7 million people could lose their jobs between April and June, and the unemployment rate could shoot up to nearly 9 percent by later this year.

For many, it's unclear just how long the economy, and their livelihoods, will be paralyzed by this outbreak. ---CONTINUED---

The Worst of the Selloff Isn't Here Yet, Banks and Investors Warn
https://www.msn.com/en-us/money/markets/the-worst-of-the-selloff-isnt-here-yet-banks-and-investors-warn/ar-BB11x5Yj?li=BBnbfcL&ocid=iehp

The most brutal stretch for global markets since the financial crisis likely isn’t over yet, say investors and analysts who believe it is too early to assess the possible scale of economic damage from the coronavirus.

In just a few weeks, U.S. stocks have lost roughly a third of their value. In recent weeks, investors have even fled assets like U.S. government bonds and gold that typically do well during times of turmoil, underscoring the extent of the panic and the shock to once-robust investor sentiment delivered by the global health emergency. ---CONTINUED---

ReadyMom wrote:Pandemic hitting small businesses and hourly workers hard: "I'm scared"
https://www.cbsnews.com/news/coronavirus-pandemic-small-businesses-hourly-workers-economic-fallout/

Unemployment claims are surging, as businesses shut their doors during this pandemic. The number of Americans affected by these closures is staggering; some experts say 7 million people could lose their jobs between April and June, and the unemployment rate could shoot up to nearly 9 percent by later this year.

For many, it's unclear just how long the economy, and their livelihoods, will be paralyzed by this outbreak. ---CONTINUED---

Its ok RM we are all scared with you

Dave58 wrote:

ReadyMom wrote:Pandemic hitting small businesses and hourly workers hard: "I'm scared"
https://www.cbsnews.com/news/coronavirus-pandemic-small-businesses-hourly-workers-economic-fallout/

Unemployment claims are surging, as businesses shut their doors during this pandemic. The number of Americans affected by these closures is staggering; some experts say 7 million people could lose their jobs between April and June, and the unemployment rate could shoot up to nearly 9 percent by later this year.

For many, it's unclear just how long the economy, and their livelihoods, will be paralyzed by this outbreak. ---CONTINUED---

Its ok RM we are all scared with you

As my Grandfather, who raised 6 kids through the great depression would say, "This too shall pass."

rick1 wrote:

Dave58 wrote:

ReadyMom wrote:Pandemic hitting small businesses and hourly workers hard: "I'm scared"
https://www.cbsnews.com/news/coronavirus-pandemic-small-businesses-hourly-workers-economic-fallout/

Unemployment claims are surging, as businesses shut their doors during this pandemic. The number of Americans affected by these closures is staggering; some experts say 7 million people could lose their jobs between April and June, and the unemployment rate could shoot up to nearly 9 percent by later this year.

For many, it's unclear just how long the economy, and their livelihoods, will be paralyzed by this outbreak. ---CONTINUED---

Its ok RM we are all scared with you

 

As my Grandfather, who raised 6 kids through the great depression would say, "This too shall pass."

 Just to clarify: *I* didn't say *I* was scared. The author of the article said they were scared.  I'm NO scaredy cat.      ... ... ... ... ... ...  

Prepare now for a coming COVID-19 depression
https://fabiusmaximus.com/2020/03/24/a-covid-19-depression/

Summary: A recession is certain. Unless the epidemic breaks soon, a depression seems likely. Lessons from history tell us how to fight it. But much of our experience is irrelevant and we must improvise. Here is the brief. ---CONTINUED---

'US Isn't Built to Be Shut Down': Trump Signals Plans to Reopen Economy Early Amid COVID-19 Crisis
https://sputniknews.com/us/202003241078689345-us-isnt-built-to-be-shut-down-trump-signals-plans-to-reopen-economy-early-amid-covid-19-crisis/

WASHINGTON (Sputnik) - US President Donald Trump said the country’s economy, affected by the coronavirus (COVID-19) pandemic, might reopen sooner than in three to four months.

"America will again and soon be open for business. Very soon. A lot sooner than three or four months that somebody was suggesting. A lot sooner. We cannot let the cure be worse than the problem itself," Trump said at a press conference on Monday. “Our country wasn’t built to be shut down. This is not a country that was built for this.”

The decision on the timing of reopening of the US economy will be made in 15 days, the president said. ---CONTINUED---

Bank of America and the (Fed Chairman said today) we are now in a recession:

https://thehill.com/policy/finance/488388-bank-of-america-the-us-is-now-in-a-recession

If it's any consolation - UPS is hiring. Also saw a huge ad because they are seeking nurses and respiratory therapists. Apparently, Amazon is also hiring. Probably none are living wage, but better than nothing.

The hardest hit here is all our little "mom & pop" stores. They're closed. And who knows if they'll have the money to open again.