That’s a lot to fit in 25 weeks! All the “no collapse anytime soon” types better cross their fingers.
The second half of the year from hell is here, and it could be even messier than the first.
As a chaotic, sometimes surreal 2020 continues to unfold, frantic planning is underway to reopen schools, stage professional sports seasons and hold in-person voting for the upcoming presidential election.
Meanwhile, coronavirus is surging again in several states, with Florida and California re-shuttering bars and beaches in a desperate bid to contain it.
More than a fifth of the nation’s workforce has asked for unemployment assistance, but the extra $600 weekly benefit ends this month. Whether Congress will extend it remains an open question.
ooking ahead to the rest of 2020, economic predictions range from cloudy to downright dire.
“This is an extraordinarily difficult period that we’re entering,” former U.S. Labor Secretary Robert Reich told the Daily News. “We’re going to see evictions and foreclosures very likely at a rate we haven’t seen since the Great Depression of the 1930s.”
He said delinquency rates on mortgages have more than doubled since March, and evictions are “very, very likely to balloon” as pandemic protections for millions of struggling renters run out this month or shortly thereafter.
“And layoffs right now are a different type than March and April. These are more permanent — businesses throwing in the towel or permanently slimming down,” he said.
You better have your money out of the stock market, because the 2nd Quarter Reports come out next week. While the stock brokerages had a record quarter, there are going to be some huge downturns. Companies like Caterpillar, and Volvo, with heavy equipment, Boeing commercial aircraft, all its suppliers.
It is too late. The $9 Trillion the US Treasury borrowed and gave to the banks and brokerages with instructions to buy stocks, certain stocks, to drive the Dow Points up, bought about 8,000 points. Next week, it may tank 10,000 points.
Some stocks are going to come out ahead, like Amazon, Tesla, several others but it is hard to see how facebook, Twitter, will hold their stock value, losing huge number of advertisers, with many advertisers going broke themselves. The only reason the deluge of bankruptcies coming are only slowing showing up, is the Courts are closed, due to the pandemic. As the Courts figure out how to open, the flood of bankruptcies will make the crash of 2008 look small.
— CNBC (@CNBC) July 9, 2020
Disclaimer: This information is only for educational purposes. Do not make any investment decisions based on the information in this article. Do you own due diligence.