What am I missing here about the market's reaction to the Novel Corona (Wuhan) Virus?

We need to see if they can reopen the factories next week. Already there are many conflicting reports. Some cities like Guangzhou is going to remain closed it seems.

You read too much. Many are fake news and rumor mongering. IMHO, a few facts are pretty clear,

  • Is a coronavirus.
  • Origin is Wuhan.
  • Spread as fast as common flu and less lethal than SARS and MERS.
  • Mortality rate in Wuhan is high because of lack of medical supplies/ doctors/ hospitals and many first-2nd mutations.
  • Mortality rate outside of Hubei is comparatively lower at 0.2-0.3%.
  • Locking down Hubei slows the spread considerably, additional travel restrictions by other nations slows the spread even more.
  • Exact number of confirmed cases and deaths are not accurate as situation is still developing. Probably a lot more infected but not detected because of various reasons such as lack of doctors, asymptomatic, 2 weeks of incubation.

The critical tasks are to control the spread (WIP, largely in place), and manage the news (people are scarecrows when they don’t understand and/or event is volatile i.e. have not stabilized). Longer term is develop a vaccine and repair economic damage.

What are the conflicting news?

This is a good summary but I don’t understand why doctors in their mid 40s-50s are dying. If this is really just a hyper-contagious flu, it shouldn’t pose much threat to people that aren’t young or elderly.

Are we sure we know what’s really going on?

I am not a doctor. Many biotech and medical companies are rushing to develop a vaccine. They have samples of the virus. If something is not right, they would tell us. Many speculation on why doctors die such as silenced, have respiratory issues due to pollution (those staying in Beijing and Shanghai are susceptible), and insufficient medical supplies…

Check this out. There’s a lot we still don’t know.

Coronavirus is bad. Comparing it to the flu is worse.

The United States sets a 24-hour limit on PM 10 pollution of 150 micrograms per cubic meter; for the more troublesome PM 2.5, the limit is 35. In Wuhan yesterday, PM 10 measured 574 and PM 2.5 was at 610.

Well, many could have their lungs damage by the air pollution and have respiratory issues. Wuhan virus is known to be dangerous to old folks and guys who have respiratory issues. Since many cities in China have been air polluted for a long time, many Chinese could have respiratory issues and hence susceptible to the Wuhan virus.

The author has an agenda to push for more funding for his pets.

You are spreading fears like @manch. Is why I don’t post this type of articles. As I mentioned earlier, controlling news and calming people is as important as controlling the spread of virus. For example, now kiasu healthy consumers hoard face masks leading to shortages for healthcare staff. They also hoard medical supplies and daily usage stuff. More fears could lead to more hoarding such as groceries and many stuffs.

As I pointed out in previous posts, mainland Chinese is more susceptible than Americans because many have respiratory issues due to air pollution. Also many smoke and drink alcohol.

I am wondering what are the profile of those deaths overseas. Are they ex-mainland Chinese?

Heh, I doubt we are spreading much fear in this tiny corner of the Internet. More interested in trying to figure out how to invest or not invest based on this outbreak.

Good point about air pollution. Still very strange to me why middle-age doctors would be dying from something with mortality rate of 2% or less.

1 Like

I adopt same attitude as @Jil. Remain invested, no margin, 30% cash.

1 Like

In 1952 a smog fog in London killed 4,000 immediately. 12,000 total eventually. China needs to clean up its act literally. Ban bush meat markets and ban coal. Ban agricultural burning.

1 Like

If you know how little medical supplies the Wuhan doctors are working with, and how little support they are getting, you won’t be surprised any more. It’s a humanitarian crime what the CCP government is putting these doctors through.

1 Like

I read the original provincial and city level government edicts. That’s as far away from fake news as it can get.

“Managing the news” has the exact opposite effect. It makes people even more scared as they don’t know what facts you are hiding. China is in this crisis exactly because they tried to manage the news in December. It’s now a Chernobyl scale disaster.

Some of those doctors who succumbed may have been putting in 100 hour weeks the way things are going in those places. And with the long incubation time they were doing that two weeks before they even knew they were sick.

:+1:

Matter of opinion. Sound like the opinion of Director CDC. In Dec, is the Wuhan Mayor that did it, may not have consulted BJ government.

Nope. It went all the way to Xi but he didn’t want to interrupt the New Year festivities. 2020 was supposed to be the first year when China completely eradicates poverty. The beginning of a golden era under Xi’s leadership.

Instead he got the Chernobyl treatment.

1 Like

Bad news. Daily new cases rose again. Again the red dots mark the daily new cases.

In figures released Monday morning and current as of Sunday at midnight, the commission reported 3,062 new cases of infection, bringing the total to date to 40,171. Of those currently hospitalised, almost 6,500 are severe cases, according to the data.

Professor Piot, who co-discovered ebola and the presence of Aids in Africa, warned that coronavirus is more dangerous than ebola.

As a virologist, I can tell you all you need to know about the coronavirus – and why you can stop panicking

UK is facing a “major outbreak” of coronavirus in the coming weeks as it continues to spread across the globe.

“If the number of people who get infected is huge, then that will also kill a number of people.”

Do Professor Piot needs a promotion? Only 4 cases in UK! The number of confirmed cases outside China is declining, sadly Singapore and HK show increases, high population density cities! Lesson learnt - Vote against all high density housing in SV.

Twitter thread on china’s first day back to work.