Economy of Political Risk
Updated: Mar 26, 2020
Up, down, up, down, left and right?
No, this is not the cheat code of an old console game. It is how the economy is moving.
Dow Jones up 4.5%
S&P 500 up 4.0%
Nasdaq up 2.1%
We can expect high volatility from the market due to the obvious impact the pandemic virus spreads throughout the world. What we did not expect was for the political parties to be so,... political.
In times of crisis, where you have real threat of life and people are dying. You would imagine that the politics would be left a side in order to save some people.
Instead, a president that back tracks on words that are recorded, available for him to see and hear again. Claims that are then retracted, and then twisted in order to gain political points.
There used to be a time when politicians new that they had to act as a team player for their party, but their duty was to their nation, to the people. And in conflict, I always thought these people were patriots.
Now, I know. They are team players, true. Team players willing to lie, cheat, and steal for their party, but will not respect the ethos of their duty.
As we deepen into this crisis. When more and more cities will face overwhelming challenges in their economies and their lives. What is the big idea?
Don't believe what the economy is pointing out. Today is up, tomorrow is down, speculators will be speculating.
We are in unprecedented times, and the market will move unpredictably for the near future.