The coronavirus is spreading fast, but a wave of economic convulsions will spread even faster, and no country will be able to escape them…
(Silver Doctors Editors) Gold & silver were bid all night.
Of course, silver “faded” the move:
But gold looks like it wants to do battle at $1640.
What in the heck is going on?
Well, Covid-19 happened again in earnest overnight.
Check out the jump in cases in South Korea (now at 204 confirmed cases) in the latest Johns Hopkins update:
Houston we have a problem.
Compare the now 204 cases in South Korea to this screenshot taken yesterday:
That screenshot was for an article about the infected US passengers from the Diamond Princess cruise ship, but notice that just yesterday there were only 104 cases in South Korea.
In other words, the total cases have nearly doubled in less than 24 hours.
And it’s not just viral contagion that put a bid under gold & silver last night.
It’s also the “markets” coming to the slow realization that the economic contagion is spreading even faster than the virus on Main Street.
For example, in relation to the emerging pandemic, in what now seems like ages ago, way back on the 9th of February we covered the economic contagion in Chinatown in New York City:
Tourism took an early hit.
But the hits keep coming.
Today, according to CNN reporting this 21st day of February, we see that in at least one case, the economic hits mean an 80% decline in business:
Just how long can businesses sustain a drop in business of 80% when there’s not yet even one single case in the entire state of New York?
The coronavirus might not be in every country on the planet, but the economic convulsions are likely to begin at any moment now, and no country on earth will escape them.
Finally, for the tin foil hat crowd out there, also from CNN:
Iran has been devastated by US imposed sanctions, and the world is now facing a critical shortage of medical supplies including personal protective equipment.
Regime change a la mass population die-off, anybody?
No traditional weapons needed!