New restrictions in Hong Kong show that a single lockdown won’t be enough
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Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#2Successive lockdowns and easings are probably going to continue for up to two years. Anybody arguing that the stock market or the economy is going to bounce back quickly in the next two months are either bullshitting you or deluding themselves.
No “stimulus” package is going to be effective, because you can’t use spending to stimulate an economy which has been forced to stop producing goods and services. All you will accomplish is inflation as more money chases fewer goods and services.
Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#3Baity title - the actual article was more interesting than the sensationalist baity title suggested
Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#4Successive lockdowns and easings are probably going to continue for up to two years. Anybody arguing that the stock market or the economy is going to bounce back quickly in the next two months are either bullshitting you or deluding themselves. No “stimulus” package is going to be effective, because you can’t use spending to stimulate an economy which has been forced to stop producing goods and services. All you will…
/r/Wallstreetbets just had someone put $775k, the person’s entire net worth, into options on the idea that the market will crash by 6/19. I am sure comments like yours give them hope that they are right.
Personally, I think that the economy will change significantly, but crash vs recover for markets is different. If suddenly workers got a fair wage and everyone got universal healthcare we could easily see the country doing a lot better while the markets would tank as this would undoubtedly be paid for by loss of corporate profits.
Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#5Successive lockdowns and easings are probably going to continue for up to two years. Anybody arguing that the stock market or the economy is going to bounce back quickly in the next two months are either bullshitting you or deluding themselves. No “stimulus” package is going to be effective, because you can’t use spending to stimulate an economy which has been forced to stop producing goods and services. All you will…
The economy is going to change, for sure. But different verticals are going to react differently to this state of intermittent lock-downs. Travel-related industries (hotels, restaurants, airlines, oil) are going downwards. Food delivery and gym@home equipment is going to sky-rocket. At the end of the day, it's a gamble to state where overall GDP or stock-market is ending, but over time increased air-born disease risks are going to facilitate new industries to come to life, and old ones to offset. Just like it always happened.
Like Warren Buffett says, "From a standing start 240 years ago, Americans have combined human ingenuity with a market system to deliver abundance beyond any dreams of our forefathers...". There is nothing to suggest this is suddenly going to stop moving forward, even as we adapt to these new realities.
Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#6Successive lockdowns and easings are probably going to continue for up to two years. Anybody arguing that the stock market or the economy is going to bounce back quickly in the next two months are either bullshitting you or deluding themselves. No “stimulus” package is going to be effective, because you can’t use spending to stimulate an economy which has been forced to stop producing goods and services. All you will…
/r/Wallstreetbets just had someone put $775k, the person’s entire net worth, into options on the idea that the market will crash by 6/19. I am sure comments like yours give them hope that they are right. Personally, I think that the economy will change significantly, but crash vs recover for markets is different. If suddenly workers got a fair wage and everyone got universal healthcare we could easily see the country…
From a first principal perspective there is no reason why anyone should think that it is impossible for China or another country to create 2 billion vaccine doses in the next 6 months. There are plenty of reasons to say this will not happen but it isn't impossible. If it does happen everything flips very quickly.
Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#7Successive lockdowns and easings are probably going to continue for up to two years. Anybody arguing that the stock market or the economy is going to bounce back quickly in the next two months are either bullshitting you or deluding themselves. No “stimulus” package is going to be effective, because you can’t use spending to stimulate an economy which has been forced to stop producing goods and services. All you will…
The economy is going to change, for sure. But different verticals are going to react differently to this state of intermittent lock-downs. Travel-related industries (hotels, restaurants, airlines, oil) are going downwards. Food delivery and gym@home equipment is going to sky-rocket. At the end of the day, it's a gamble to state where overall GDP or stock-market is ending, but over time increased air-born disease risk…
I’ll just give one example of how things will change — massive amounts of women are going to leave the workforce. Schools and day cares are not going to be reliable for the foreseeable future and women are more likely to quit their jobs and stay home if that becomes necessary.
Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#8Earlier quoted context omitted.
/r/Wallstreetbets just had someone put $775k, the person’s entire net worth, into options on the idea that the market will crash by 6/19. I am sure comments like yours give them hope that they are right. Personally, I think that the economy will change significantly, but crash vs recover for markets is different. If suddenly workers got a fair wage and everyone got universal healthcare we could easily see the country…
From a first principal perspective there is no reason why anyone should think that it is impossible for China or another country to create 2 billion vaccine doses in the next 6 months. There are plenty of reasons to say this will not happen but it isn't impossible. If it does happen everything flips very quickly.
It’s also possible no vaccine will be discovered as there are no coronavirus vaccines.
Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#9Earlier quoted context omitted.
The economy is going to change, for sure. But different verticals are going to react differently to this state of intermittent lock-downs. Travel-related industries (hotels, restaurants, airlines, oil) are going downwards. Food delivery and gym@home equipment is going to sky-rocket. At the end of the day, it's a gamble to state where overall GDP or stock-market is ending, but over time increased air-born disease risk…
I’ll just give one example of how things will change — massive amounts of women are going to leave the workforce. Schools and day cares are not going to be reliable for the foreseeable future and women are more likely to quit their jobs and stay home if that becomes necessary.
There are significant second order effects (and 3rd, 4th degree effects and so on) that are difficult to foresee and accurately simulate. For example, just to continue on your train of thoughts, the number of average children in existing young families is going to go up, which is going to increase food consumption and, potentially decades later, construction activities in real estate.
Re: New restrictions in Hong Kong show that a single lockdown won’t be enough
#10China woo this again. Not sure n ext round will be 20 years long if they continue their eating and Gov social control.