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Why Global Markets Will Recover from Coronavirus Sooner, Rather Than Later
Every previous depression, recession, or one day sell-off has been caused by things like over-valued stocks, improper economic or financial policy, weak banking regulations, or some other economic, financial, or legal reason — therefore, those financial crashes were caused by an organization, a regulator, or a person, doing the wrong thing.
Consequently, the corrective action and the time lag involved to get the market up to where it once was, involved many months, or even years of tough slogging.
But in this case, nobody did anything wrong; There was no over-valuation, no wrong-headed government policy or weak banking regulatory environment, nor were there illegal actions by individuals behind the cause of this particular market adjustment. No matter the numbers… there’s only one reason for this massive and unprecedented market value writedown, and that is fear.
Fear of investors losing the value of their stocks (due to the Coronavirus scare) is the only thing that’s caused this financial meltdown — therefore, once that fear subsides at approximately the same speed as the Coronavirus subsides, the market should then respond very strongly and March 2020 will eventually register as a tiny blip on the year, and my guess is that the Dow Jones Industrial Average will return to 29,000 points or more by the end of 2020.
As no systemic economic, financial sector or banking regulatory problems are to blame for this particular crisis, global stock markets should rebound as soon as the Coronavirus has run its course.
Waiting for the Markets to Open on Monday With All the Money You Pulled Out of the Markets Before They Lost Value During the Coronavirus Scare? Nice!
Well, aren’t you sitting pretty! 😉
If you pulled all your money out two weeks ago, or even as late as week ago, you now have a pool of money that you’ve already made profit on, ready to reinvest in the market just at the time stocks are priced at fire-sale prices!
Oh, yes. Oh, yes, Oh, yes! You are a lucky investor indeed.
And I suspect that there are millions of such investors around the world at this time and I fully expect that once the Coronavirus has run its course through the population, investor confidence will return like a hurricane on steroids.
Think of all that investment hitting the markets over the next few weeks. ‘It’s a beautiful thing!’ as Donald Trump would say.
‘Buy Low, Sell High’
If I’m right (and we’ll soon see) it will demonstrate the perfect example of the ‘Buy Low & Sell High’ strategy that’s been making individual investors and institutional investors wealthy since there were rocks.
If you did wisely ‘cash out’ your stocks over the past two weeks, you can now buy even more of your favourite stocks at their new, low price due to the Coronavirus market event and watch them return to February’s highs and more in the coming months and years.
If millions of investors do this as I fully expect they will; March and April of this year should barely register as a blip on the financial calendar in only a few short months, and investors will reap significant rewards over the coming months and years. And, good on you for being such prudent investors!
Until then, wash your hands often, maintain proper social distancing of about six feet, and don’t go on a cruise ship if you’re aged or infirm. Other than that, happy days for investors will soon return!
Ditherers! You’ve Had Your Chance at Brexit: Now Shove-Off, It’s Boris’ Turn!
What is wrong with some people in the UK Parliament?
I’ll tell you what’s wrong; They had their chance and they duffed-it-up beyond all fixing and it took them 3-years to accomplish nothing… other than cost the UK economy £1 billion per month (totalling £38 billion since June 23, 2016) due to economic uncertainty.
To add insult to injury, over that same 3-years the UK continued to pay a £10.5 billion (average) annual net payment to the EU, for a total of £69.5 billion (so far) due to the prolonged Brexit negotiating period. A ‘negotiation’ that in the end, failed spectacularly.
And now they see Boris is going to get the job done in short order — which they imagine will have the effect of making their efforts look pathetic by comparison.
In Short; These People are Poor Losers!
And worse, they won’t allow the new team to get the job done, thereby outing themselves for the ditherers they are. (Fun Fact: The Free Dictionary cites former UK Prime Minister Theresa May 4 out of 10 times in the ‘References’ section under the word ‘ditherer’)
Remoaners… You’ve Already Had Your Chance! So Get Out of the Way and Let Boris Have His Chance!
After 3-years of trying to gain a Brexit deal these people failed to pass the Withdrawal Agreement three times in a row when they were leading the government.
The Conservative Party ‘called time’ on their efforts, because for all the bouncing around the EU and cravenly sucking-up to all and sundry, they accomplished nothing on the Brexit file. Not one thing.
It’s like the proverbial 7-year-olds who tried to play against an adult rugby team; ‘You were getting hammered by your opponents, let alone being unable to keep up with your own team members, and team management pulled your sorry behinds off the field so you wouldn’t embarrass yourselves to the point you’d get booed every time you walked onto a rugby pitch for the rest of your lives.’
In the case of the ‘Remoaner’ Brexit team, getting ‘benched’ by ‘management’ was a mercy! Do these people not get it?
Please View This Chart if You’re a UK Taxpayer & Are Concerned About the Size of the Net Contributions to Brussels (plus the Economic Uncertainty Losses Over the Past 3-Years) All of Which Total £69.5 Billion, so far…
Remember, a ‘net’ payment is the money you don’t get back. It’s a net payment. Get it?
So, Who Really, is Working for the UK taxpayer?
- On the one hand, there are those who created this entire mess by dragging Brexit out over 3-years and want the government to double-down on the failed tactics of the Remoaner Brexit team and want the new Prime Minister to tell Britons they must continue to pay insane amounts of money to the EU annually and accept economic uncertainty as a permanent state of affairs in the UK. Meanwhile, the EU continues to say there is absolutely no chance of a change in their Brexit position. So, why work for more delay? What’s to be gained by another missed Brexit deadline? What do you hope to accomplish over 3-more months that you couldn’t accomplish over 3-years? Why are you attempting to play the ball when you’ve been ordered off the field by your own management?
- On the other hand, there are those who want to stop the economic haemorrhaging by November 1, 2019 by getting Brexit done and dusted, working diligently and under trying conditions for the country’s taxpayers so that Britons can move on with their lives in a better economy and with proper UK sovereignty restored.
So, who is working for the UK taxpayer? You tell me…
Related Article:
- Brexit showdown: Who were Tory rebels who defied Boris Johnson? (BBC)
Theresa May Files Another Request to Prolong the Economic Uncertainty
Each Brexit extension increases the economic uncertainty for industry on both sides of the English Channel, yet Theresa May keeps asking for more of them.
‘Round and ’round and ’round she goes,
Where she’ll stop, nobody knows!
UK citizens voted to Leave the EU on June 23, 2016 and now, almost 3-years later, not only has the March 29, 2019 official Brexit date been missed, the subsequent April 12, 2019 Brexit date looks likely to be missed, and now UK Prime Minister Theresa May is asking for yet another extension until June 30th.
If anyone doesn’t believe that Theresa May intends to ask for another Brexit extension beyond June 30, 2019 (she’ll probably ask for that additional extension about a week before June 30th) and probably another one after that(!) you’re horribly naive
If we let her, this will go on until the year 2050, or whenever it is that she will expire and leave her post. Unless somebody stops her, this will be your life, Europeans!
It’s been 1016-days since the UK referendum to Leave the EU and for 993 of those days Theresa May has been the British Prime Minister. And every single day for the past 1000+days has been increasing in economic uncertainty on both sides of the English Channel — wholly on account of a UK government that has dithered and doddled on delivering the will of The People.
That’s what you get for hiring a ‘Remainer’ Prime Minister, I suppose.
‘But she promised!’ you say.
‘Yes, we understand.’ we say.
At the end of that daily conversation, nothing will have changed. Day after day, month after month, year after year.
It’s becoming clear that Theresa the Remainer intends to delay Brexit until everyone gets sick of it and ‘Remain’ wins. And democracy will have lost.
The People voted to Leave the EU. Anything less than carrying out the will of The People is complete BS. And the UK Conservative Party must inform the Prime Minister of that in no uncertain terms, and if she doesn’t agree 100% on all of it, they need to fire her. ASAP.
Three years of economic uncertainty is ENOUGH!
Letter to Britain 