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Originally Posted by Truenorth00
The market is back to Wednesday/Thursday. LOL. It's pretty ridiculous. The market is basically not pricing any impact from covid19. I expect the rally will continue through the fed intervention (expected on Wednesday morning). And then as numbers start piling up we'll see the turn.
The layoffs and furloughs haven't even rally begun in earnest. It takes a month for a ship to get from Asia to North America. The supply disruptions are just kicking in:
https://hbr.org/2020/02/how-coronavi...n-by-mid-march |
I think it could very well be a "dead cat bounce". The market was overvalued, and we're in an extremely long bull market that was looking for an excuse IMO.
It would be nice to see this blow up in Trump's face during an election year.
COVID-19 will have a huge impact on earnings in the coming quarters. Even if it's mostly due to some of the knee-jerk overreactions we've already seen.