[Friday Rant] Coronavirus Chaos

Coronavirus Chaos Harry Dent | February 28, 2020 The coronavirus is really spreading throughout the world now, having made its way to both Europe and the United States. That's had a tremendous effect on stock markets around the world, and on Thursday we saw a big drop… and Friday's open has been nightmarish, also. So naturally I have people asking me whether I think this is the beginning of the big crash. And here's my answer. It could be, but I still don't think we are quite there. What we're dealing with right now – and it is unique – is the actual definition of a Black Swan: a quick moving phenomenon (in this case, COVID-19) that has a pronounced and unpredictable effect on the markets. And this virus has some tricks to it, so expect a little more turbulence as governments try to tamp it down. But still, I expect things to turn around today or in the next few days, and for a strong V-shaped rally to follow, and a bounce through April or May… right before the actual crash. I will simultaneously be tracking this crash versus the first big crash in tech stocks from March to May 2000 to see if it is looking more like the first big 42% or so crash in 2.6 or so months – like I did in the two last sharp crashes in early and late 2018. There's a lot more to this, and I cover it all in this week's Friday rant, and also get into Bernie Sanders's rise in the Democratic primary and what that could mean for the banks and the markets. And because things are moving so quickly, we've decided to delay the release of our March Boom & Bust until Monday. Subscribers should keep an eye on their inbox for that. As always, we'll keep you updated. Harry Dent This Week in Economy & Markets... The Virus, the Bernie Factor, and the Europeans Rodney Johnson | Feb 27, 2020 It's been a crazy week. The major U.S. equity indices puked their guts up, mostly over the spread of the coronavirus, COVID-19. With the Chinese economy stuck in a very low gear and new outbreaks happening in South Korea, Italy, and Iran, it looked like it was just a matter of time before the nasty bug washed up on our shores in a meaningful way... READ MORE » Just a Corona Correction? Harry Dent | Feb 26, 2020 The markets on crack have largely ignored the coronavirus, which obviously could be a potential game changer. And now they react, down 2,600 points on the Dow, as soon as it hits a "white toast" country like Italy. Yes, the markets are quite bigoted! The markets have been on a tear ever since the Fed started pumping money feverously due to the repo crisis, and have continued with the coronavirus. That has stalled for now, hence I expected a correction here... READ MORE » All Hail the Mighty Dollar… Or Not Rodney Johnson | Feb 25, 2020 There's always some old relative who, when you ask how he is, says, "I woke up on the right side of the grass, so I must be alright!" Kind of funny . . . the first time. Then it's just another non-reply that doesn't answer the question. If the only choice was being dead or alive, we wouldn't ask. The answer would be obvious... READ MORE » The Coronavirus Goes Global Rodney Johnson | Feb 24, 2020 When such a deadly virus hits, the first stage is always containment, as has occurred rapidly in China. But when it starts to spread past its origin more rapidly, it gets a life of its own. At this stage of the coronavirus's spread, it's better to focus on mitigation through sanitation and less direct social contact. Governments should support businesses and stop closing things down to make the economy and panic worse.... READ MORE » Economy & Markets  |  Dent Research You are receiving this e-mail as a part of your free subscription to Economy & Markets E-Letter. Remove your email from this list: Unsubscribe. 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