On it so fears of a supply shock are rattling stocks and Global Markets as outbreak continues investors are more used to dealing with the occasional threat of negative demand shocks an unexpected hit to demand for goods and services but the potential for a negative supply shock and unexpected change in the supply of a product or commodity is more unnerving this is not something weve really seen since back in the Great Depression days and and world war 2 days you know were going to go to rationing remember world war 2 rationing became the standard way of dealing with supply shortages and in the case of medicine and food probably rationing tickets to buy j. P. Morgan and jamie diamond thats no good prices they wont be able to make money and theyre the ones behind the electronic food stamps right those are all jamie diamond so now thats going to go wide jamie diamond food rationing coupons of course the supply shock is being met. With a supply of more cash everywhere you look hong kong wa
Residents 10000. 00 hong kong dollars i know in china they were giving the equivalent of 1500. 00 as well to any citizen or resident of will hand who self reported coronavirus and in fact did have it so they were encouraging people to come forward and not hide amongst the population and in order to get them to stop so they were there was air drops there and in terms of the u. S. Of course were already seeing that as guaranteed almost that theres going to be a rate cut in march and theres going to be you know this month and then theres going to be a rate cut to more by the end of the year so were going to going to 0 the treasury yields are obviously at historic lows as well so where were heading to 0 its the dollar toilet paper arbitrage at some point one sheet of toilet paper will cost more than 1. 00 coin. It is rapidly approaching they can air drop all the money they want and all theyre going to do is cause more dislocation especially with the cantillon effect so youll have toilet pa
Local independent bookstore. Beautiful downtown coral gables. Maybe not so beautiful tonight but if you dont like the weather in florida, wait five minutes. We appreciate you being here, if anyone has a cell phone thats ringing please put that on silent. Also dont forget to go to a webpage. We will send you emails about everything that goes on at this location and other locations. I dont know if you been to Coconut Grove recently but we have a new story there. Another one with mentioning done at the adrian arst center we have on january 26 at 6 30 p. M. Isabel allende will be joining us you can buy tickets online at the our center. Org. Any number of wonderful events you can visit us here we do farm to table dinners, podcasts with a lot of others with our owner and founder you can only do that by accessing the webpage. We are very happy to see Christopher Knowlton with us, bubble in the sun the florida boom of the 1920s and hook braid on the Great Depression. So its our fault, right. I
Mentioning down at the adrienne art center, we have on january 26 at 630 isabella yen they will be joining us and you can get tickets online thats at the art. Middledot org. As a number of wonderful events you can visit us here. Weighted dinners, podcasts with our authors you can only do that by accessing the webpage so please visit us there. We are very happy to have this evening with us mr. For christopher knowlton, the bubble in the sun the boom in the 20s so how brought on the depression. I thought there Something Else involved. Christopher is a former staff writer of the london chief the london magazine he spent 15 years the investment business. His previous book was a cattle kingdom and the hidden industry out in the west. Please give them a round welcome. [applause] thank you steve i appreciate that and really appreciate you all coming. Its nice to be back in coral gables. Seems like just yesterday i was here researching the career of George Merrick, who was the founder of coral
Looking up for the economy and then suddenly we got negative data points that changed everything and made the recession a plot more likely sure, that may be the profrnl mat cause of todays decline, losing another 494 points, s p 500 plunges 1. 79 . Nasdaq plummeting 1. 76 . Sell, sell, sell, sell but the truth is a lot simpler. We were due for a selloff. How i do know . Because thats what ive been telling you for weeks. A month ago i told you about the s p 500s short range oscillator indicator. This is a tool i pay a lot of money for that tells you almost with uncanny accuracy when the market is overbought or oversold, overbought meaning due for a pull back, oversold means you have to start buying when the oscillator is above five, it always almost means we came too far too fast. And you need to do some selling. Well, when its well above 5, you need to aggressively raise cash as i told you last month the oscillator went extremely high reading, told you we were due for a bruising i stwu