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Dow plunges 1,000 points, gives up gain for the year

Chomsky

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Stocks fell sharply on Monday, with Dow Jones Industrial Average losses reaching 1,000 points. The number of coronavirus cases outside China surged, stoking fears of a prolonged global economic slowdown from the virus spreading.

The Dow traded 1,025 points lower, or 3.5%. The S&P 500 slid 3.5% while the Nasdaq Composite traded 3.9% lower. The 30-stock Dow is also negative for 2020.

Source: (CNBC) Dow plunges 1,000 points, gives up gain for the year

Geebus! One word, "Coronavirus". That says it all.

China has closed most of its factories, and with today's inter-related global supply chains, I was wondering how long can the rest of the world would get by without China's parts & sub-assemblies before there's a spillover effect. It seems today's markets are reflecting my concerns here.

I would keep an eye on the U.S. automakers. Cars are sold as whole functional units. If a part is missing, obviously the car does not sell. And today, American cars integrate parts from all over the world - including China.

Anecdotally, I was contemplating buying a Chinese audio amplifier. The manufacturer's website indicates they are now shut-down and not shipping due to the coronavirus lock-down. Ditto for several other eBay Chinese audio parts online stores I've seen. Making it worse, many online Chinese stores were shutdown for all of January due to the Chinese New Year. And now, the shut-down is extended due to the virus. And again anecdotally, I know a guy that works in international supply chain shipping logistics on the West Coast, that claims his company's business is now doing substantially less than what they normally do.

Yes, my last paragraph is anecdotal. I won't use anecdotal evidence to make an argument. In fact, I'm not making an "argument". But I will opine that I now believe our economy is going to take at least a slight ding here. Maybe only a tick or two in GDP & earnings (maybe more?). But however slight or not, I think we will be effected to some degree.
 
Source: (CNBC) Dow plunges 1,000 points, gives up gain for the year

Geebus! One word, "Coronavirus". That says it all.

China has closed most of its factories, and with today's inter-related global supply chains, I was wondering how long can the rest of the world would get by without China's parts & sub-assemblies before there's a spillover effect. It seems today's markets are reflecting my concerns here.

I would keep an eye on the U.S. automakers. Cars are sold as whole functional units. If a part is missing, obviously the car does not sell. And today, American cars integrate parts from all over the world - including China.

Anecdotally, I was contemplating buying a Chinese audio amplifier. The manufacturer's website indicates they are now shut-down and not shipping due to the coronavirus lock-down. Ditto for several other eBay Chinese audio parts online stores I've seen. Making it worse, many online Chinese stores were shutdown for all of January due to the Chinese New Year. And now, the shut-down is extended due to the virus. And again anecdotally, I know a guy that works in international supply chain shipping logistics on the West Coast, that claims his company's business is now doing substantially less than what they normally do.

Yes, my last paragraph is anecdotal. I won't use anecdotal evidence to make an argument. In fact, I'm not making an "argument". But I will opine that I now believe our economy is going to take at least a slight ding here. Maybe only a tick or two in GDP & earnings (maybe more?). But however slight or not, I think we will be effected to some degree.

It's Ok, these jobs will be coming back to America within hours......Right??????
 
Source: (CNBC) Dow plunges 1,000 points, gives up gain for the year

Geebus! One word, "Coronavirus". That says it all.

China has closed most of its factories, and with today's inter-related global supply chains, I was wondering how long can the rest of the world would get by without China's parts & sub-assemblies before there's a spillover effect. It seems today's markets are reflecting my concerns here.

I would keep an eye on the U.S. automakers. Cars are sold as whole functional units. If a part is missing, obviously the car does not sell. And today, American cars integrate parts from all over the world - including China.

Anecdotally, I was contemplating buying a Chinese audio amplifier. The manufacturer's website indicates they are now shut-down and not shipping due to the coronavirus lock-down. Ditto for several other eBay Chinese audio parts online stores I've seen. Making it worse, many online Chinese stores were shutdown for all of January due to the Chinese New Year. And now, the shut-down is extended due to the virus. And again anecdotally, I know a guy that works in international supply chain shipping logistics on the West Coast, that claims his company's business is now doing substantially less than what they normally do.

Yes, my last paragraph is anecdotal. I won't use anecdotal evidence to make an argument. In fact, I'm not making an "argument". But I will opine that I now believe our economy is going to take at least a slight ding here. Maybe only a tick or two in GDP & earnings (maybe more?). But however slight or not, I think we will be effected to some degree.

It'll go back up in a few weeks. People pull their money out of some markets based upon current events then reinvest based on current events. For example, in this case, I suspect they are pulling their money from firms trading with China and reinvesting in medical technologies. Unlike some dumbass who hides their money in their mattress, investors invest. They won't just pull the money and sit on it or put it in a bank making 0.2% interest. They'll reinvest.
 
Stock market doesn't like Bernie.

Bye, bye 401k.
 
Source: (CNBC) Dow plunges 1,000 points, gives up gain for the year

Geebus! One word, "Coronavirus". That says it all.

China has closed most of its factories, and with today's inter-related global supply chains, I was wondering how long can the rest of the world would get by without China's parts & sub-assemblies before there's a spillover effect. It seems today's markets are reflecting my concerns here.

I would keep an eye on the U.S. automakers. Cars are sold as whole functional units. If a part is missing, obviously the car does not sell. And today, American cars integrate parts from all over the world - including China.

Anecdotally, I was contemplating buying a Chinese audio amplifier. The manufacturer's website indicates they are now shut-down and not shipping due to the coronavirus lock-down. Ditto for several other eBay Chinese audio parts online stores I've seen. Making it worse, many online Chinese stores were shutdown for all of January due to the Chinese New Year. And now, the shut-down is extended due to the virus. And again anecdotally, I know a guy that works in international supply chain shipping logistics on the West Coast, that claims his company's business is now doing substantially less than what they normally do.

Yes, my last paragraph is anecdotal. I won't use anecdotal evidence to make an argument. In fact, I'm not making an "argument". But I will opine that I now believe our economy is going to take at least a slight ding here. Maybe only a tick or two in GDP & earnings (maybe more?). But however slight or not, I think we will be effected to some degree.

The reason for the drop today is because of the virus has spread vastly outside of China, and now is in Italy, the fear being a likely pandemic.
 
Remember how we joked about how there were plagues in 1820 and 1920, and how there might be in 2020?

I don't think it's funny anymore.
 
Wait a minute. Weren't all my early messages warning about the coronavirus just false fear mongering trying to create panic?
 
I think this is a contributing factor.

Bernie is a long term concern for the Stock Market, but this is 100% corona virus related. No one is panicking over Bernie yet.
 
Source: (CNBC) Dow plunges 1,000 points, gives up gain for the year

Geebus! One word, "Coronavirus". That says it all.

China has closed most of its factories, and with today's inter-related global supply chains, I was wondering how long can the rest of the world would get by without China's parts & sub-assemblies before there's a spillover effect. It seems today's markets are reflecting my concerns here.

I would keep an eye on the U.S. automakers. Cars are sold as whole functional units. If a part is missing, obviously the car does not sell. And today, American cars integrate parts from all over the world - including China.

Anecdotally, I was contemplating buying a Chinese audio amplifier. The manufacturer's website indicates they are now shut-down and not shipping due to the coronavirus lock-down. Ditto for several other eBay Chinese audio parts online stores I've seen. Making it worse, many online Chinese stores were shutdown for all of January due to the Chinese New Year. And now, the shut-down is extended due to the virus. And again anecdotally, I know a guy that works in international supply chain shipping logistics on the West Coast, that claims his company's business is now doing substantially less than what they normally do.

Yes, my last paragraph is anecdotal. I won't use anecdotal evidence to make an argument. In fact, I'm not making an "argument". But I will opine that I now believe our economy is going to take at least a slight ding here. Maybe only a tick or two in GDP & earnings (maybe more?). But however slight or not, I think we will be effected to some degree.


1st bolded: you’ve never heard of a “we owe” list? Granted this is usually for small items, say floor mats or mud flaps that aren’t in stock and need to be installed after the sale......

2nd bolded: for like an electric guitar?
 
Wait a minute. Weren't all my early messages warning about the coronavirus just false fear mongering trying to create panic?

Reputation.
 
Source: (CNBC) Dow plunges 1,000 points, gives up gain for the year

Geebus! One word, "Coronavirus". That says it all.

China has closed most of its factories, and with today's inter-related global supply chains, I was wondering how long can the rest of the world would get by without China's parts & sub-assemblies before there's a spillover effect. It seems today's markets are reflecting my concerns here.

I would keep an eye on the U.S. automakers. Cars are sold as whole functional units. If a part is missing, obviously the car does not sell. And today, American cars integrate parts from all over the world - including China.

Anecdotally, I was contemplating buying a Chinese audio amplifier. The manufacturer's website indicates they are now shut-down and not shipping due to the coronavirus lock-down. Ditto for several other eBay Chinese audio parts online stores I've seen. Making it worse, many online Chinese stores were shutdown for all of January due to the Chinese New Year. And now, the shut-down is extended due to the virus. And again anecdotally, I know a guy that works in international supply chain shipping logistics on the West Coast, that claims his company's business is now doing substantially less than what they normally do.

Yes, my last paragraph is anecdotal. I won't use anecdotal evidence to make an argument. In fact, I'm not making an "argument". But I will opine that I now believe our economy is going to take at least a slight ding here. Maybe only a tick or two in GDP & earnings (maybe more?). But however slight or not, I think we will be effected to some degree.



There is a big-time smart-money buy opportunity in here at some point. Maybe it's worth a wait for worse news. A terrible thing to say. But the biggest buy opps are when emotions run amuck.
 
Stock market doesn't like Bernie.

Bye, bye 401k.

Because real swing voter's always say that anything bad happening to an identifiable portion of the economy is happening because a left-lean person exists somewhere.

If a Democrat wins this fall and bad things happen, swing voters will say the only analysis of the situation that needs to be done is that

If a Republican wins but bad things happen, swing voters will reach the natural conclusion that the bad things must have happened despite the Republican president because there are democrats in congress.

Because swing voters know that bad stuff happens because Democrats, while good stuff happens because Republicans. Right?



And since they know that, they don't need to bother with any sort of complicated analysis to rule out all other factors that might possibly cause the stock market to dip. Oh no. A left-leaner exists somewhere! BURN HIM!
 
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and this is why you shouldn't use the stock market as a barometer of economic success.
 
Trump's stock market: yup.
 
The reason for the drop today is because of the virus has spread vastly outside of China, and now is in Italy, the fear being a likely pandemic.

As I posted in my own thread, the other reason is: ' Treasury notes are at their lowest in ten years due to investors moving out of riskier investments. The bond market has been flashing its recession signal for a while now. The lack of inflation, global central banks easing measures and the chance of an interest rate cut at the Federal Reserve’s April meeting. '
 
Source: (CNBC) Dow plunges 1,000 points, gives up gain for the year

Geebus! One word, "Coronavirus". That says it all.

China has closed most of its factories, and with today's inter-related global supply chains, I was wondering how long can the rest of the world would get by without China's parts & sub-assemblies before there's a spillover effect. It seems today's markets are reflecting my concerns here.

I would keep an eye on the U.S. automakers. Cars are sold as whole functional units. If a part is missing, obviously the car does not sell. And today, American cars integrate parts from all over the world - including China.

Anecdotally, I was contemplating buying a Chinese audio amplifier. The manufacturer's website indicates they are now shut-down and not shipping due to the coronavirus lock-down. Ditto for several other eBay Chinese audio parts online stores I've seen. Making it worse, many online Chinese stores were shutdown for all of January due to the Chinese New Year. And now, the shut-down is extended due to the virus. And again anecdotally, I know a guy that works in international supply chain shipping logistics on the West Coast, that claims his company's business is now doing substantially less than what they normally do.

Yes, my last paragraph is anecdotal. I won't use anecdotal evidence to make an argument. In fact, I'm not making an "argument". But I will opine that I now believe our economy is going to take at least a slight ding here. Maybe only a tick or two in GDP & earnings (maybe more?). But however slight or not, I think we will be effected to some degree.


It's clear there is much more to the story in China than the Chinese are allowing.

I was reading a few things that are potentially being discovered in patients outside of China that should really scare the crap out of people.

First is that apparently the contagious stage might be twice as long as previously believed, with an infected person transferring the disease a full 4 weeks after they themselves were infected. 28 days is the extreme gestation for most Coronavirus, and with indicate that, if true, the 2 week quarantine was likely almost completely useless.

Second, they now are starting to think that, unlike most coronavirus, recovering from novel coronavirus might not grant immunity, and there are cases of re-contracting the virus after an initial diagnosis and recovery. This would mean that without Herculean efforts, a novel coronavirus outbreak in a high populated city could be self perpetuating until a cure is found.
 
The reason for the drop today is because of the virus has spread vastly outside of China, and now is in Italy, the fear being a likely pandemic.

Fear. Panic. Recovery.

About 56k die annually from the flu worldwide. Coronavirus, about 70k confirmed cases, less than 2k confirmed deaths.

The Black Plague killed an estimated 25 million people, almost a third of the European continent's population. By 1750, less than a hundred years later, Europe's population was greater than 350 million.

During the next two weeks I'll be buying more equities. Vulture economics at work. We all die. A toilet seat will fall from the sky, hit me in the head. So it goes.

All we can do is smile when death comes.
 
It's Ok, these jobs will be coming back to America within hours......Right??????

Yup - especially if those factories are powered by coal - that industry is on the way back have you not heard? :doh:roll:
 
The market will probably be back in a week. Or not. Who knows?

In the meantime, seems like a good opportunity to pick up some bargains.
 
Stock market doesn't like Bernie.

Bye, bye 401k.

Could be something to it. Charles Payne seems to think so. Guess when Warren was peaking as the frontrunner the market reacted similarly. I think a big factor is the virus spreading. This weekend it was reported it has significantly spread in S. Korea, Iran and Italy. Payne said stocks associated with a lot of medical supplies made in China are really tanking. China has stopped shipments because they are needed in their country at this time.
 
The market will probably be back in a week. Or not. Who knows?

In the meantime, seems like a good opportunity to pick up some bargains.

Some agree with you. In the past couple hours the market gained back well over 100 pts .
 
It'll go back up in a few weeks. People pull their money out of some markets based upon current events then reinvest based on current events. For example, in this case, I suspect they are pulling their money from firms trading with China and reinvesting in medical technologies. Unlike some dumbass who hides their money in their mattress, investors invest. They won't just pull the money and sit on it or put it in a bank making 0.2% interest. They'll reinvest.
It may retract much of its losses even today. We've seen this pattern of a crash on the morning's bad news, then a significant partial recovery later in thev day when calmer heads prevail. In fact, as of this moment the losses have receded back to 780 down, from the previous 1070 down.

But I'm not placing any bets! :2razz:
 
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