Episode 82: Single Worst Day Decline Since Black Monday. Can the Markets Recover?

On Friday the 20th of March, we witnessed the worst single day decline for the S&P 500 in a history of 12,651 trading days outside of two other days. In 1929 there was Black Tuesday and 1987 there was Black Monday. When will we see the decline end? In this episode we review actions taken by the government to prepare for the financial crisis, the statistical importance of social distancing as well as how you can prepare yourself in the event that you can no longer pay your mortgage.

This Week’s Investor Exchange Round Table Covered:

  • When will the bad days end? As a recession becomes imminent, we are seeing government and policy maker intervention around the globe to soften and shorten it’s effects. Joel breaks down the different stimulus packages we are seeing in Australia, Germany, Spain and the U.S in their efforts to protect themselves against major effects seen in the likes of Black Tuesday and Black Monday.
  • The statistical significance of “Social Distancing”: Social Distancing is deemed as the ultimate control towards the COVID-19 spread. Louis gives us a comparison of three weeks of social distancing vs no social distancing and its effect on new virus cases reported.
  • Property a Safe Haven? Brett answers our lingering questions about how the property market will hold up in the current economic environment with historically low interest rates and a stark rise in unemployment. Furthermore, he goes through what we can do in the event that we can’t pay our mortgage.

You Cannot Be Serious

  • As the hoarding of toilet paper continues a man has taken it upon himself to set up a toilet paper exchange. In this toilet paper exchange people who have excessive toilet paper will be able to drop their toilet paper off to the exchange to go to people that are in need.

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