20200227 Trump Presser fails to impress

The reaction to the Trump COVID-19 press conference was immediate & came before the bad news of a case in Cali where the manner of virus acquisition was unknown. The US Futures fell sharply and the Asian markets opened, down again. A decent article on the cause of continued market weakness is here: https://on.mktw.net/2VmiizX

An un- synchronized Federal response with the VP ostensibly in charge, but without a mandate and more importantly without power of the purse to fight the COVID-19 issue was not what the market wanted to hear. The VP is knee deep in re-election efforts. To lead a task force, one must be free from other competing distractions. Trumps primary thesis was we should hope this virus just passes us over. Family’s can hope. Sometimes that is all they can do but pray. Governments on a macro scale need to act, not hope.

Bottom line: COVID-19 isn’t going to kill you.┬áIt is prudent to assume a Supply Side shock is coming & way of life changes will happen. Why? Public fear and government inaction. Increase acquisition of larder, masks, gloves and non / semi perishable OTC products that will probably become in short supply if / when a panic sets in.

Investment vehicles to consider: Netflix and Amazon are a good start. They are extremely successful already and virus fears should further spur ‘stay-at- home” lifestyle choices.