Today was a reassuring day for most Americans and citizens from all around the globe, as the United States of America declared a national emergency in spite of the Coronavirus spread. President Trump’s speech instilled an aura of togetherness to fight this virus, and put extreme healthcare measures in place to quarantine the virus and prevent its spread. The US Stock Market responded positively as a whole amid extreme market slide over the past days, alarming many on the status of their 401k and IRA retirement accounts.
Essentially the entire United States of America is closed for approximately 3 weeks and many are finding difficulties already with daily work schedules and child care needs. Local relief agencies are late to the party as were state officials and unfortunately President Trump had certain restrictions before he could act as quickly as possible when the virus broke out across the globe in China.
Mike Pence among other top healthcare executives were at the event in support of the National Emergency Declaration, and the healthcare officials were able to offer their efforts in summary of how the agencies are working to prevent the spread. Quest Diagnostics and CMS were among many other healthcare executives who are leading the medical pursuit of safety and prevention.
The Trump administration has put emergency plans in place and coordinated heavily with the CDC. Common sense measurements were put in to place by the CDC to prevent the spread. In addition increased inspection within nursing homes and hospitals was administered by President Trump. The administration collaborated with the education department to postpone school-related events and gatherings in addition to the overall school closures.
On a financial standpoint, stock prices and index funds went soaring this afternoon surrounding the 3pm EST speech. Speculation surrounds a more significant and lingering decline in the economy and stock market around 19000 points. Will this happen? It would appear as if the recession is looming with international productions and China threatening to halt pharmaceutical exports to the United States.
The Dow Jones Industrial Average rose 9.36% almost 2,000 points in the hours around the speech. I was carefully watching the market movements from the hours 2pm-4pm EST and the share prices for all of my funds skyrocketed back to within close to their resistance lines. Sepculation surrounds the market slide continuation moving into next week.
Let’s all follow the common sense preventative measures issued by all public health officials and stop the spread of this disease as best as possible. More news to come on modern economics, business news, and financial markets insights.
God Bless America,
Michael Moran, Managing Partner of IHG Management