Ahh yes the panic is indeed on the move. The virus though, well it is a virus. From what I was just reading after looking at the plunging market again (albeit only in personal commentary) the death rate of Coronavirus is 0.9%. Less than the ordinary flue if thats correct. Besides that which I really dont think is anything considering the flu changes every year and millions of people are affected and tens of thousands of people die and nobody pays any attention at all.
Whats different with the Coronavirus is the media virus. The spread of the “panic virus” in the media is unprecedented. Think about how many people will change their day to day lives not because of catching the flu but because they are scared of catching the flu. The media is truly disgusting in its portrayal of fear and death. You dont hear that almost all deaths are elderly people with respiratory conditions or that the majority of cases have only mild affects.
Now, onto stocks. I didnt really unload any ammunition at all just moved it from WBC to BOQ. So 27k of that and just my small Coles holding. My big boy pants were a little tighter yesterday than usual and I did get the urge to do something so I did. I think after the big moves in WBC my profit was only around 2.5k so hardly here nor there but I think BOQ will be less affected by what’s going on simply due to its already very low sp and exceptionally good yield at current level which is 7.7% which is nice.
IMO the worst sectors to suffer will be places like shopping centers or anywhere you might gather a crowd.
Another whipping today no doubt the only thing thats odd is in difference to yesterday where gold spiked on the fear i find it odd that gold has been getting sold down as well. That isn’t normal panicky reactions at all and gives me pause if the whole thing might not just be an opportunity for large players in the markets to make money. One of the large trading desks in the states like JP Morgan i think it was or Goldman Sachs already reporting that their trading revenue will be up in the teen percentages.
Today will probably be a good day to pull up my own big boy pants and let things ride. Lets see if I can do it
