BBUS, page-1138

Old News: COVID exists and countries are trying to stop the spread. The government actions are having a negative impact on business and likely causing recession-like impacts across multi countries.

Bad News: The Virus has mutated increasing symptoms which increases fatalities rates OR unemployment spikes above expected OR industry/businesses collapse ala BEAR STERNS (note: Dont ever name your company anything BEAR related)

Good News: Government intervention will mitigate impacts OR a suitable treatment is found OR infection rates drop

Remember we dont so much need a vaccine here as we need a viable treatment which will prevent hospitals from being overrun. Once that is confirmed, the slowdown will in large part come to an end and discounts in excess of 20% will dry up completely.

What isn't news is that some businesses will have significantly reduced revenues in the near-term (Airlines > Hotels > Retailers) but these may be temporary. Things will go back to normal and within a few quarters we will be back where we started - some won't have even had a negative impact others will have a massive +ve impact (anything we do more of when we are stuck at home). So for the market as it stands - that's not so much bad news as old news.

Afterall, i'd buy a good company at a 10% discount even if they take a 30%-50% hit provided they can sustain through COVID.