Houston We Have A Problem

 So is this enough chaos yet? Are you not entertained? I guess some of you realize now the system doesn’t work for you the way you thought it did. Stressful is an understatement. Let’s see what we’ve got on our table right now, not what WAS or WILL be, but what is on the table right now.

We have a global pandemic that most likely will demonstrate its true potential within the next few months. Even the doubters that still exist will be convinced its horrific when it overwhelms and destroys the health care system. You doubt this? Then try and find a hospital with a bed open for just simple oxygen in that scenario. Its already happening and I believe we have a much bigger problem ahead. Please check box 1

Weave a massive job loss situation that cannot be rapidly or easily fixed, in fact it could deteriorate during the winter. The effects on GDP will be dramatic and there is no Captain on the SS Titanic at the moment as we go through a transition of power. With a lame duck Congress and President, there is virtually no chance of any significant spending bill during the next 12 weeks. This stress on families will be profound as the economic impact increases along with the virus. Nonsensical predictions of gridlock “helping” the market will clash with the reality of the economic disaster. Paper meet scissor. Please check box 2.

What happens Houston when the Fed hits the panic button as the near term lack of fiscal stimulus becomes too obvious for the media pundits to jaw bone as “getting better soon”? Exposure of the “problem” is not acceptable, so “monetary” intervention will be necessary to plug the holes in the damn of the “real” economy that has no tit from the government for a couple of months. Either way “fiscally” or “monetarily” there will be printing soon.

Houston we have a problem with the new pilot in our spaceship. No Houston, not the demented, empty suit but the face of his replacement. She has never been acceptable to the public and will not engender public support as hard as the press will try to build her reputation. With lack of leadership becoming apparent, markets will begin to shake. I think this will happen before they even take office. Corporate and tax threats will create a negative market environment, not to mention the struggle trying to right a sinking real economy. Insurmountable problems ahead Houston. Hope you have a plan. You are Houston and you have a plan if you’ve paid attention.