March 17, 2020
The stock market has plunged – again. Retirement plans have been upended. And many folks across the nation are stuck at home.
We write to you from a home office today…
We have a fantastic view over the Washington D.C. trainyard, though there are fewer trains traveling the tracks.
Amtrak has cut its Northeast Corridor trains by 60% as demand has plunged. They’re not the only ones… Airlines, cruise ships, restaurants, conferences, and professional sports are all essentially on pause.
The nation’s economic activity has stuttered to a halt.
Emergency Briefing from Stansberry Research explains why the market’s next move will take everyone by surprise… And how it could make you 10 to 50 times your money along the way. Get the full details immediately.
Cities across the nation are banning large gatherings. Here in D.C., bars and restaurants have been forced to shutter. In New Jersey, the city of Hoboken has implemented a city-wide curfew that started yesterday evening. And at least 24 states have announced some form of school closure.
Oh, there are still cars on the road. Long lines at grocery stores and pharmacies. And Amazon, Walmart, and Target have run out of household staples to deliver – from toilet paper to baby formula, hand sanitizer to medical gloves.
The U.S. Federal Reserve and other central banks around the world are cutting interest rates… loading up their quantitative-easing money guns… and even purchasing assets in an attempt to keep the shutdown from becoming even more severe.
But you can’t kill a virus with money.
We suspect that the market’s volatility – big up days, big down days – will continue until there is progress made in real terms… whether that means that Lockdown U.S.A. is successful, a vaccine is rushed out, or simply that new cases and deaths begin to flatten out.
In the meantime, the only strategy that we know of right now that’s really working in this extreme volatility is from financial analyst and American Consequences feature contributor Bill McGilton.
It’s a way to take a small amount of capital and use it to insure your entire portfolio.
The goal is that when the market plunges – as it’s doing right now – you can use one or two trades that are designed to potentially gain 500% to 1,000% in times of crisis to “hedge” the rest of your portfolio.
If you’re interested in learning about how this strategy might protect your portfolio from today’s rollercoaster market, click here to reserve your seat to an educational briefing on Thursday, March 19 at 8 p.m. Eastern time.
And if you’re in an area not yet hit with Lockdown U.S.A. commands… get ready. Because it is coming.
We hope you listened to Chaos Chronicles editor Kim Iskyan two and a half weeks ago, long before practically anyone else was taking coronavirus seriously, when he recommended the following…
How to Prepare for Lockdown U.S.A.
By Kim Iskyan
I don’t want to sound alarmist, but you’d be silly to not…
Stock up on essentials. The stuff you’d normally get at the grocery store… and items that you’d hate to run out of. (That’s what I saw at my local grocery store – empty shelves where toilet paper, cooking oil, rice, and hand sanitizer should have been.) Canned goods are ideal. And don’t forget any medicines you might need.
Don’t be in the wrong place. Of course, it’s difficult to anticipate where there might be an outbreak. But think about limiting travel if there’s a chance that you’ll be stuck someplace where there’s a surge in coronavirus cases – which could mean that you can’t leave. If you’re in China now, good luck going somewhere else without finding yourself quarantined. (And if you’re Chinese… sorry about your luck.)
Get cash. It works all the time, everywhere. Yes, we’re moving to a digital world. But a single crisp $20 bill can open a lot of doors. If you need something fast – or need someone to do something for you that blurs the line – you don’t want to be asking, “Do you use Venmo?”
Prepare to spend a lot of time at home. How would you occupy yourself… your kids or grandkids… your spouse? Faced with being forced to stay at home for days on end, maybe you’d finally clean out the basement. Or maybe you’d drive each other up the wall.
Remember… the day that politicians start talking about preparing for a lockdown, that dog is barking – loudly. Listening for – and preparing for – what you’re not hearing is a lot more difficult. And valuable.
Now here are some of the stories we’re reading…
If you look only at the absolute figures, the concern over the coronavirus might seem overblown. But there are a few factors that at least partially justify the screaming-in-the-streets reaction to COVID-19…
Top infectious disease expert doesn’t rule out supporting temporary national lockdown to combat coronavirus
Fauci, a key member of the Trump administration’s coronavirus task force, told Keilar that Americans will need to come to terms with the fact that life will begin to look much different as the country tries to slow the spread of the disease.
Lockdowns and entry bans imposed around the world to fight coronavirus
France and Spain joined Italy in imposing lockdowns on tens of millions of people, Australia ordered self-isolation of arriving foreigners and other countries extended entry bans as the world sought to contain the spreading coronavirus.
Not exactly gloating, stockpiling ‘preppers’ have a moment
For those in the often-mocked “prepper” community, this is quickly becoming their “I told you so” moment. But many are resisting saying that, even if it’s in the back of their minds. What they hope is that they’ll finally be taken seriously and that more people will follow their lead.
It’s time for free money from Washington
The coronavirus crisis hasn’t generated much unity in Washington, DC, where Democrats and Republicans continue to trade blame for the outbreak and shoot down each other’s ideas. But one idea is already getting some bipartisan support: Sending government checks to every American to put spending money in their pocket.
And let us know what you’re reading at [email protected].
Publisher, American Consequences
With P.J. O’Rourke and the Editorial Staff
March 17, 2020