Corona Virus + Bear Market = Recession Economy

[Joddxxx]

At this moment, I’m watching MarketWatch and the Dow and reading negativity in regards to the pandemic of the corona virus that the media is creating. Goldman Sachs stated,”all capital gains are wiped out for the entire year.” Doe has dropped by 10%, so if we get hit by another 10% soon, then we will be in a recession. Providers will be tighten their belts soon if a recession does occur.

[Equipeeler55]

We have dropped over 10% so we are in a market correction. If we drop another 10%, 20% total, that is defined as a bear market and not a recession. Granted the economy would suffer but it does not mean that we would be in a recession.

[Doug4343]

No. Women will lose work and have to provide to survive. Awesome! Hope some hotties enter the market

[Chung Tran]

Originally Posted by Doug4343

No. Women will lose work and have to provide to survive. Awesome! Hope some hotties enter the market

that is the proper way for a Monger to approach this!

yeah, today was the largest one-day Dow drop in History. the last hour of trading has been brutal the past few days, as Margin Call stocks galore, wind up getting sold for whatever Brokers can unload them for.. any attempt at a bounce caused more sellers to get out.

of course, the Market was 5 years overdue for a major drop, it was looking for a reason to bail.. the dumb money has been pouring into stocks, way late to the party as always, just as the Real Estate speculators have been.. they are the next group to be clipped.

[TheWanderer]

Time to follow Warren Buffet's advice and buy. Choose companies with a moderate-high Beta that have a long history or weathering storms.

[rexdutchman]

China is the problem kid , trying the break the tariffs ? Sad but nobody sees china for the issues we have now ( I guess you cant see the forest for the trees)

[TC75]

This is a black swan event.
13% down, we are in a correction and headed to 20%.
At that point buy everything with little or no connection to China.

[Ralph Fults]

Originally Posted by TC75

This is a black swan event.
13% down, we are in a correction and headed to 20%.
At that point buy everything with little or no connection to China.

Choose carefully. The travel/tourist market will be hosed for the rest of the year. Same with the real estate market. A lot of over leveraged companies will no doubt fail.

[mrredcat43]

Look at airlines stock. AAL has fallen by 33% in the past couple of weeks

[TexTushHog]

Originally Posted by TheWanderer

Time to follow Warren Buffet's advice and buy. Choose companies with a moderate-high Beta that have a long history or weathering storms.

Too early. No bottom has been established. Never catch a falling knife. I think we’re down 14% with at least that much more to go, probably in the next two weeks.

I but the bullet last week and si]old a lot and incurred horrific capital gains exposure. All the stuff I have I’ve had fir a couple of decades. But I’m glad I did it. Wish I’d sold more.

[Chung Tran]

Originally Posted by TexTushHog

Too early. No bottom has been established. Never catch a falling knife. I think we’re down 14% with at least that much more to go, probably in the next two weeks.

I agree no bottom, but I don't see any way the Market would drop another 14% in 2 weeks.. maybe 2-4 months, if the virus keeps spreading fast. this week is already historic, the 5th biggest weekly drop in the 124 year stock market history.

I notice the market GAINED hard the last hour of trading today.. up 300 points in the final hour. because dumb money went short, and were scrambling to cover short positions, buying shares as big money folks forced them from their positions. don't take that sharp rise as a signal the selling is over.. it is NOT.

I also agree Airlines and travel-related stocks will be killed this year. and by the way, shame on Donald Trump jr. for saying Democrats WANT the virus to spread, to undermine his Daddy. that Administration has some low individuals inside.

[Doug4343]

Im expecting at least a 25% drop with the market as we work through the corona virus issue, but then next up is a election time. A lefty democrat gets elected and the market will fall again. I sold everything last week except but pot stocks and video streaming stocks, netflix and IQ, holding those. Thank god I sold. But i really fucked up. Kicking myself for not buying some puts on the market. I do expect a recession, and i really enjoyed the 2008 and 2009 recession as we saw a pop in providers and latina providers which i especially enjoyed.

[Joddxxx]

If all of us can come together and start telling the providers that the recession is coming, then we could lower the pricing with these providers.

[Chung Tran]

Originally Posted by Joddxxx

If all of us can come together and start telling the providers that the recession is coming, then we could lower the pricing with these providers.

tell them our 401k's have become 201k's, and we expect their fees to drop commensurately, from $400 to $200..

or for the Crack Whores, from $40 to $20

[rexdutchman]

This is like SARs market dropped , then rebounded to over 90% of before the event so everybody just take a breath