Covid-19 Market Update #1

As I predicted in my last email, global credit, and now equity markets, are grinding to a halt.

The capital markets are absolutely in peril – market movement is beyond three standard deviations from the mean on the 200-dma. In quantitative finance parlance – we are getting dangerously close to a black swan event. Do not be surprised by another 2-5% drop in the market when trading opens Monday morning.

I can’t emphasize this enough, the underlying data looks extremely bad for the capital markets. Entire economies have completely imploded.

I try to do my level best and not tell people what to do with their money. However, I HIGHLY recommend you look at what exposure your investments have to Asia, especially China, TODAY. Do not wait until next week.

Below is an expert from an article at ZeroHedge, $650MM in IPOs have been canceled due to the virus.

On the heels of global credit markets grinding to a halt this week as the Covid-19 outbreak, it appears the freeze has spread to equity markets as Bloomberg reports more than $650 million in IPOs to be pulled from European capital markets.

The sudden velocity of Covid-19’s effect on global markets has been nothing short of astonishing and while secondary trading markets are important, contagion spreading to the primary markets, freezing IPO and credit issuance this week is a significant problem.

SO… is what are we doing during Lockdown 2020.

Lots of real estate training; most of it free. We are going to be hosting a ton of free webinars and “lives” throughout the quarantine.

There are a few ways to enjoy our content:

Join the – Mr Texas Real Estate Facebook group

Join our email list

Register for one of our online workshops

Subscribe – to the Texas Real Estate Radio Network YouTube channel

See you online!

Jason Bible
Mr Texas Real Estate