We Are Watching The Stock Market Do Things That It Has Never Done Before
Six days. That’s all the time it took for the S&P 500 to fall more than 10% from a record into a correction.
That’s the quickest turnaround of the sort ever, according to data from Deutsche Bank Global Research.
We have never seen anything like this, and many are now wondering what is going to happen if this outbreak gets much, much worse.
Without a doubt, stocks could potentially fall a long, long way. Thanks to a tremendous rally earlier this year, stock prices were pushed to the most overvalued levels that we have ever seen. It was inevitable that prices would fall, and this coronavirus outbreak looks like it could greatly accelerate that process.
For example, on Thursday David Kostin of Goldman Sachs warned that American companies “will generate no earnings growth in 2020”…
via theeconomiccollapseblog We Are Watching The Stock Market Do Things That It Has Never Done Before