Corona virus and financial collapse

originally posted by: Bigbrooklyn
My question is...if every one is selling...who is buying?a reply to: CriticalStinker

Hedge funds, pensions, 401k, ect.

The protection from a hit for many of them is to continue buying in the same equities to bring down their average stock price. Then when things inevitabley turn around, even if the correction changes the "fair price", they adjusted their average to an extent that lessons the blow, mitigates, or profits depending on how things pan out.

a reply to: eitea

What would they be responsible for?

Say the CEO of a textile company. They retire. What is their responsibility in all this?

Just looking for a bit more than the usual "they are the MAN and I a perpetual victim." spiel.

a reply to: lakenheath24

Wow a Waffle House? You are brave.

I'd be more afraid of carrying home six legged bugs than a virus though a good dose could await you in the restrooms. There's a reason those restaurants are all glass fronts. So we know who to avoid.

a reply to: Bigbrooklyn

it coud be just creedy people. every dump has people who cushion the fall, since they think that it won't fall any lower.

a reply to: Bhadhidar

The stay at home offers to sit for neighbors and makes a new career until this is over.
The world is not coming to an end. Everybody will go back to normal sooner than you think.

a reply to: Sillyolme

I personally would not want to be a CEO of an company during the time it's stock fall more then ever before in history. There are no laws to hold them responsible, but there always is your reputation on being the guy.

Well trump just said this could bring us all closer.

His very own kumbaya moment.

Is he for real?

a reply to: eitea

How does that make them responsible in any health crisis?

You didn't answer the question.

Basically theyre leveraging themselves...a bit risky as the bottom might still be a ways away. a reply to: CriticalStinker

Greedy people..say it aint so. My conspiratorial thinking has me leaning towards mant companies dumping on purpose as many are owned by deep state actors...ex: Google...Facebook etc.a reply to: eitea

a reply to: Bigbrooklyn

your theory is sound. let's let time tell on what will happen

a reply to: eitea

Well if Chinas economy is shut down, will they be able to pay their dollar debts, I doubt it. If they have to default that would do a lot of damage. This has only just started, so many companies in the West rely on Chinese products to manufacture their own products. Finding alternatives usually takes time. Time we haven't got.

originally posted by: eitea
a reply to: Oleandra88

I based the lockup vision mostly on the barred windows that the new corona hospitals have in China and this video:
www.youtube.com...

But yeah, just a theory, but a theory that makes most sense for me on the current situation.

Um yeah seems like a totally normal way to deal with the flu....

originally posted by: Bigbrooklyn
Basically theyre leveraging themselves...a bit risky as the bottom might still be a ways away. a reply to: CriticalStinker

It's not really risky unless whole sectors default... Which I don't think has happened since the twenties.

Don't get me wrong, there's going to be plenty of hurt going on... And buying stock now may take a year to break even.

Thanks... Most are in it long term... Time will tell.a reply to: CriticalStinker

Interesting to see how it plays out. Im on the side that say its about hurting the Trump economy. Man i hope im wrong..a reply to: eitea

Elliottwave had a major stock market drop coming sometime. I thought it might be a smaller drop last week. I had no idea what could cause the massive drop some forecasters were predicting for months already. Trump may come out ok because if this drops continues at the same speed, it might be over real quick too and rally hard. However the theory has many angles covered. It could drop the SP500 index much lower or rally up and drop to new lows. The problem with the forecasts is that they often aren't obvious until things already happened.

I'm still wondering what virus I caught about 3 weeks ago and seems to be going around in the Carolinas. I haven't heard it was the corona virus but most people aren't getting tested. Charlotte was a connecting flight location from other airports that had direct flights from China for a while. People were checked for fevers on the direct flight connections. I think we know symptoms don't always show up right away. Now my mother has had an upset stomach for a while.

Makes me wonder if the plan is to let the virus infect everyone and hope the fatality rate is as low as the flu in the US and afterwards, people will treat it like a bad flu and return to their normal lives. Might be wishful thinking. I've been moving for months. I could easily work from home for weeks. It will take that long to unpack. Unfortunately I'm still moving stuff from the old house especially the garage. I can't legally throw away liquid paint. Moving takes time especially when you try to finish things all by yourself. Hoping to be done and have my old house sold in 2 or 3 months.

I'm afraid the US is where China was in the beginning of Jnauary. I've been thinking an economic downturn was coming sometime as far back as 2 years ago. However this could blow over real fast too. Kill a lot of people. Then the survivors which will be 98% of us will go on like normal at some point. Could be 99% survivors if US healthcare reduces the fatality rate. I'm trying to prepare but not worry. My mother claims she already went to heaven and said it was real nice but they told her she had to come back for 3 or 4 years. I feel like it's not my time because someone or something has other plans for me. Life is short though. Plan and prepare. If you die and your records are a mess, best to get things organized and tell others about insurance, etc, etc. I've been slack in that regard. It's hard to keep track of things while moving. I could have died a number of weeks ago when a guy on the wrong side of the road came over the hill in my lane and we only had a few seconds to avoid a head on crash. It was an odd coincidence that I had slowed down back a few miles earlier to try to take a picture. If I hadn't. End of story. I'd like to make it easier for relatives to find my will and financial records but we all get busy. Hopefully I don't become part of the 2% or 1%.
I'm still working for a paycheck. Seems like all work and no time off with moving on weekends.

a reply to: hopenotfeariswhatweneed
China is not really known for their soft hand ruling. It is a dictatorship, they keep things rolling and act fast. Good or bad, overreaction or not, it is like that.

Our rational, intuitive thoughts how things should work, are formed by the false feeling of power to elect our governments. Governments that are slow to react because citizens can interfere and they have to get their lobby buddy's in position to reek in the cash, in all processes possible.

It is a cultural difference, too.

Damned Yankees....




a reply to: Sillyolme

a reply to: eitea

You do realize that "debt" = "wealth" right? Without debt there would be no wealth. We use a double entry system. Any time you hear politicians talking about reducing debt they are lying. Do some research. You will find that for every dollar of debt we have a dollar. If we paid off every last cent of our debt we would have no dollars or cents left. This is the way the system works.