CORONAVIRUS UPDATES
WORLDWIDE CASES: 201,000
WORLDWIDE DEATHS: 8,204
U.S. CASES: 5,881
U.S. DEATHS: 107
Welcome To Groundhog Day
The MH staff has always loved the 1993 Bill Murray film Groundhog Day not just because it’s funny, but because it posits the question, How would you spend one day if you had to relive it over and over and over?
Welcome to Groundhog Day, people. We’re there.
Maybe you’ve lost your job (temporarily). You’re not traveling. You’re essentially trapped wherever you are and hopefully, healthy. So how are you going to spend each unstructured day?
Our hope for you, and what we’ve been trying to do. Don’t waste too much time on social media (don’t laugh). Expand your mind. Expand your skills. Improve your fitness.
You may never have another sabbatical like this in your life. If you were ever going to adopt the Herschel Walker fitness routine (500 push-ups, 500 sit-ups daily), this is the time.
Suggestions for those of us who are somewhat solo proprietors: 1) Cook, and learn new dishes 2) Always be reading a book 3) Learn something entirely new: a language, a musical instrument, how to invest, etc. 4) Write letters or get back in touch with people (without using Facebook).
It’s not a shut-down. It’s an opportunity.
Cancel 2020
It feels quaint to read tweets or listen to sports pundits discuss Tom Brady to the Buccaneers or the latest free agency rumors in the NFL. Particularly when the people we should be listening to, such as public health officials, attempt to brace us for a pandemic that may last as long as 18 months.
This entire month of March has seen people, from Twitter followers of ours to Fox News blatherers to the President, slowly distance themselves from their intransigent denials as to the severity of the virus. There won’t be a 2020 Tokyo Olympics, at least not this July. And I’d put it best at 50/50 if the NFL season kicks off in September. Brace yourselves for the worst, and you won’t be so disappointed.
President Herb Tarlek
As a character on the late 1970s sitcom WKRP In Cincinnati, Herb Tarlek was so much fun to behold. Smarmy. Self-assured when he had no right to be. Lecherous. Never one to hold himself accountable when things went wrong. Dishonest. Crude.
Nine days ago:
As his Wikipedia page entry notes, Herb’s co-workers at WKRP considered him a “general jackass” and yet still maintained a grudging affection for him. That’s where I feel he and Trump part ways. There was a time when Donald Trump was everything that Herb Tarlek was, except wealthier. But then he got mean. And actually began taking himself seriously. Herb, as much of a buffoon as he could be, could eventually be reeled in. He did have a conscience. Our President, who never takes responsibility for his inaction, does not.
Today:
A few words about “Chinese Virus.” Technically, he’s correct. The virus originated in China. But we all know this guy and at this point we all know why he’s using that term: to deflect blame from himself and to incite his MAGA base to find a scapegoat that doesn’t have white skin, something they are very good at.
I mean, even Fox News has had its Come to Jesus moment…
This is also solid…
“I Say, ‘Let ‘Em Crash’ “*
*The judges hope you get the reference
You’ve been hearing on CNBC about how much trouble the airlines and Boeing are in right now. Funny, eh? Corporations that have turned huge profits the past decade experience a sudden downturn for just two weeks and now they’re about to go out of business? Funny. We’ve been out of work for two months now, collected no unemployment, and are doing fine. I guess we should hold a TED Talk with these CEOs about how to more prudently manage your money.
One reason the airlines are in such distress? They spent as if there’s no tomorrow and, much like the idiots who lost everything buying homes they could never hope to afford 15 years ago, they committed the cardinal sin of believing the market could only ever go in one direction: UP! Let former Secretary of Labor Robert Reich explain:
So airlines such as American made wild amounts of money, besides upping their baggage fees (currently $30 for the first, $40 for the second). What did they do with their profits? Reinvested in themselves, buying their own stock. What does that do? It creates an artificial scarcity of stock, which in good times drives the price higher, which investors love to see, which increases quarterly earnings, which keeps CEOs in plush corner offices and with private jets.
The problem? You’re eating your own bodily reserves to nourish yourself. When the bill eventually comes due because the stock price plummets, you’ve doubled down on your losses. You can’t draw on cash reserves because they are in your stock, whose price is plummeting. You must tear down the front wall of your home to get wood to put into the fire. Kind of self-defeating.
Now, add to that they’ve been issuing debt (this is how Wall Street folk say “taking out a loan” without making it sound so desperate) to finance projects, but now they’ve got little income to pay back those loans. Double whammy.
And so what’s their next move? Come to Washington, D.C., with palms outstretched and beg for a bailout. And my response? I’m Gil in Sexy Beast:
You watch CNBC, you watch an endless parade of millionaires and billionaires extolling the virtues of capitalism. And that’s fine. Capitalism is the economic expression of Natural Selection. And yet as soon as things turn against them, they’re suddenly socialists? No. Sorry.
Whatever airline or airplane manufacturer goes down, let it. That will create a demand vacuum and some enterprising capitalist will fill it. That’s how capitalism works. If a pack of lions forget to set their alarms and they all die of starvation cuz they’re too lazy to hunt, you don’t go throw red meat at them. You let them die and some new predator will gaze upon all those unbothered herds of wildebeest and begin hunting. THAT is the Law of the Jungle. That is capitalism.
Ask Not
Kinda waiting for programs to be developed such as the WPA when FDR was President during the Depression. You’ve got millions of Americans, such as myself, who are out of work and healthy and wanting to pitch in. And then you’ve got millions of Americans who are either overworked or elderly and unable to do things for themselves that they might normally be able to do.
Seems there might be a way to bridge the gap there, no? This article from The New York Times offers some ideas as to how the federal government can begin tapping untapped resources. Meanwhile, if any of you have any bright ideas, hit us up.
Because here’s what I’m thinking: I really want to avoid America looking like that final scene from Joker if we can help it.
The past couple days I keep seeing that “American adults will each be sent $1000” from the federal govt. Couple questions – is it TAX FREE? Do we have to declare it as income for this year (& possibly nudge one into the next tax bracket or over the line for ROTH contributions)? What about state taxes on it? And finally, what are the chances this actually happens? As much as a FREE $1000 check would be useful personally, I wonder how much it will help people that aren’t working now due to business shut-downs or will not be working in the future due to recession layoffs? Since so many people in this country barely have any savings in an Emergency Fund (as seen from the last fed govt shutdown & those folks could barely make it 2 weeks), I’m guessing a $1000 when one’s mortgage is $2000-$4000/month (& that’s just the non-extravagant homes) won’t help them much. Still, it should at least help feed a family for a bit.
BTW, my stomach is in full-on “throw-up mode” now, metaphorically, but that could change if I actually log-in to my 401-K. I bought a little bit on Monday in my stock acct & another little bit today (some more DIS & added to another). My purchases these past 3 weeks have all been tiny (yeah for free commissions!) , but my cash is dwindling all the same. Perhaps it’s odd but continuing to buy some stocks at prices that had only been in my DREAMS (nightmares?) a mere month ago is keeping me from panicking about everything else (i.e. getting sick & worse).
I keep saying this (sorry) but I’m SO glad you got out of NYC & are with mamadubs. Did you see that piece on the elderly couple too petrified to get out of their car at a grocery store but they desperately needed some food? I’ve been contributing to Meals on Wheels the past couple years & I think they need to EXPAND during this emergency for people like that couple in the car! I don’t know how they can find older folks that aren’t in their program yet though. Any ideas?
BTW, how’s the guitar playing coming? And if you aren’t already an expert at making your mama’s lasagna, now’s the time to learn. 🙂
And sorry to end on a bummer, but I just read this morning that the CDC now says the age that folks need to be especially vigilant is…50 & up! Not just 80, not 70, not 60 but 50! Be careful out there.
I feel very lucky, Susie B. Very lucky.
In sunny Arizona. Keeping mostly at home and expenses very low. The guitar-playing is coming along well, thanks for asking. I can see a difference just in the past 5 days (my mom’s ears may have a different opinion).
As for stocks, I’d advise (and take that FWIW) to stop catching falling knives (e.g. DIS) because to quote Dr. Fauci, it’s going to get a lot worse before it gets better. I’ve been doing a lot of trading this week, making back the money I lost last week. If you follow me on Twitter, you know what I hate and love. But the only establishment stock I own at moment (outside of my Roth IRA) is AAPL. Keeping a lot of cash, ducking in and ducking out. Up about 7% this week thus far. I don’t trust this White House to do the right things for awhile, which means disruption is the play. We’ll see.
Stay safe. I’m not worried about getting sick or getting my mom sick. We’ve been practicing social distancing for years. 🙂