👉Recession 2020 and Why It Looks like 1929 All Over Again !!
Channel: GeoStar TV
Date: 10/03/2020

👉Recession 2020 and Why It Looks like 1929 All Over Again !!
The epidemic is bringing China to its knees. And it spreads along the supply chains. In Europe, the most affected will be Germany and Italy.

The Coronavirus is way more grave then they make it seem. Millions of Chinese are stuck in cities in complete lockdown.  By now, it is spreading across the States and Europe. There are cases in France, Spain, and the UK coming in. It is spreading in the USA as well. Amazon and others have pulled their attendance from the big event in Barcelona. The hotels are empty. Airlines are canceling flights en masse. 
The Chinese GDP will contract by more than 5% in the first quarter of 2020.
Its tourist industry has collapsed .Tourism is 10% of Chinese GDP.
 Sixty million people will not be visiting China this year. The global supply chain has collapsed. Delivery of consumption goods, etc. to the world and USA is cratering. China Is Disintegrating.
The virus is bad enough, but the economy is shutting down. We won't be able to get the things we need to survive. For instance, America grows a lot of food as long as there is chemical fertilizer. The unfortunate thing is that we don't make fertilizer here or at least not enough to support our population. 
The whole planet is going to shut down due to the virus or as a ripple effect of other countries shutting down due to the virus.

Meanwhile, most stocks are hovering around their all-time highs. Remember that after the SARS breakout, we went down to -40 percent in some sectors. And SARS was NOTHING compared to this one.
It seems simplistic to think that China can register a positive growth rate this year.
Just the loss of 3 weeks in total would be enough to wipe out 6% of Chinese GDP this year. Too pessimistic? If anyone thinks that China will return to work soon as if nothing had happened, he deludes himself big time.
All this reminds me of 1929 all over again.
Only the star of the show has been replaced.
In 1929 the USA was the world's cheapest producer of goods and agriculture.
For a starter, We MUST bring back our pharmaceutical industry from China.
They are going the way of a big Civil War.
Welcome to The Atlantis Report.
The broad policy direction for many of the world’s central banks and governments now hinges on one question: how will the Chinese government respond to the economic shock caused by the coronavirus.
The impact of the current coronavirus epidemic has already been felt in the automotive sector, which represents the heart of industrial manufacturing not only in China but, for example, also in Germany. Automotive plants throughout China have been ordered by the Beijing government to remain closed after the Lunar New Year holidays.

Volkswagen, FCA, Toyota, Daimler, General Motors, Renault, Honda, and Hyundai have stopped production in what is the world's largest automotive market.

According to S&P analysts, auto production in China dropped by 15% in the first quarter of 2020 compared to the same period in 2019.

But the repercussions go back along the entire supply chain. FCA has announced that one of its European plants may have to stop production in two to four weeks due to supply problems from four Chinese suppliers due to the blockage caused by the epidemic and that it is looking for alternative solutions to avoid this situation. In the last few days, the same fate had happened in Hyundai for its plants in South Korea, while Volvo had to change the supplier of batteries for hybrid vehicles in order not to stop production due to the stop of imports from China.

COPYRIGHT DISCLAIMER:
Under section 107 of the Copyright Act of 1976, allowance is made for “fair use” for purposes such as criticism, comment, news reporting, teaching, scholarship, education and research.
This presentation contains images that were used under a Creative Commons License. Click here to see the full list of images and attributions:

https://link.attribute.to/cc/743435