Two weeks ago Mnuchin said we needed two weeks to study the impact of the coronavirus, and with today’s supply chain news, it’s likely Steve’s gone into hiding…
Well, it’s now been 14 days since he said that he didn’t see any supply chain issues:
For example, here’s an article posted on Silver Doctors on February 4th about supply chain disruptions.
Or tune-in to any Silver Doctors Live since January 20th as we’ve been all over the supply chain disruptions.
What’s going on is Steve was lying to the American public when he said that, and he dang sure knows it’s a lie because the supply chain disruptions have been blatantly obvious for several weeks now.
And to this day, every single day, we’re bombarded with supply chain disruption news.
Here’s an example from just today, with Maersk, the world’s largest container shipping company, saying it’s been cancelling cargo ship trips.
From KYMA (bold added for emphasis):
Maersk, the world’s largest container shipping company, has warned of a “very weak” start to the year as the coronavirus keeps factories shuttered in China and dents demand for the transport of goods.
The Danish ship operator said Thursday that it has canceled more than 50 trips to and from Asia since the Lunar New Year holiday was extended because of the outbreak. Shipping rates are expected to decrease as demand slips, the company said in an earnings report.
“We estimate factories in China are operating at 50% to 60% of capacity,” CEO Søren Skou said on an earnings call.
Maersk expects production to ramp up to 90% by the first week of March, but Skou cautioned that “obviously there are still a lot of uncertainties.”
In an interview with Julia Chatterley on CNN Business’ First Move, Skou said that with 30% of the company’s business related to China, the impact from the virus is “quite substantial.” What matters most, he said, is what happens in the coming weeks.
Honest question: Maersk is a publicly traded company, so wouldn’t Maersk be presenting a more optimistic outlook than what they’re currently actually facing?
For discussion of the supply chain topic and a whole lot more, using today’s news (Thursday, February 20th), tune-in to the replay of the live-stream in its entirety: