Take it from a legend

“Markets go up and markets go down, it is how you react that will make the difference over the long term.”

“No one can predict with certainty what will happen in the markets in the short-term future…absolutely no one.”

However, what we do know for sure is that markets will go back up and exceed their previous highs over the long-term (5 to 10 years). We just do not know exactly when or how many years or decades it might take.

But, it is an historical fact that long-term markets go up despite short-term market drops and sell offs. As a result, market corrections and bear markets create excellent stock buying opportunities for patient and smart investors.

While psychology, emotions and sentiment work against investors in down markets and panic stock sell offs in the short-term, it is important to try to ‘think’ instead of ‘reacting on emotion’. Successful investing has been founded on sound investing principles and strategies. Poor investment strategies have resulted from reacting on emotion.

We know that markets tend to go up and to go down, but over the long-term markets increase. Understandably, when markets go down, the odds are in your favor to make successful investments over the long-term if you buy the stocks of companies with strong balance sheets whom stock price has been unfairly beaten down during market corrections and Bear markets.

Investing legend Warren Buffett has earned the nickname “The Oracle of Omaha” because of his incredible and long lasting investment success. And, Buffett has lived through a lot of different markets in his day.

Here are 20 of Warren Buffett’s best quotes for you and some things to contemplate about each one. Click through the gallery at the link below:

https://www.msn.com/en-us/money/savingandinvesting/20-tips-from-warren-buffett-on-weathering-a-market-downturn/ss-BB12hUJq#image=1

We asked the experts to answer questions about all the places coronavirus lurks (or doesn’t). You’ll feel better after reading this.

When we asked readers to send their questions about coronavirus, a common theme emerged: Many people are fearful about tracking the virus into their homes on their clothes, their shoes, the mail and even the newspaper.

We reached out to infectious disease experts, aerosol scientists and microbiologists to answer reader questions about the risks of coming into contact with the virus during essential trips outside and from deliveries. While we still need to take precautions, their answers were reassuring.

Read more: https://www.nytimes.com/2020/04/17/well/live/coronavirus-contagion-spead-clothes-shoes-hair-newspaper-packages-mail-infectious.html

1. https://www.wsj.com/articles/what-we-know-about-the-coronavirus-11579716128

Under the new White House guidelines, governors will determine a timeline for reopening their states. “Every state is very different,” President Trump said. “If they need to remain closed, we will allow them to do that.” The new guidelines come as lawmakers and business leaders press the administration to expand virus testing.

While pushing to reopen the economy, Mr. Trump acknowledged the continued risk and said Americans should continue to practice “vigorous” hygiene practices, including social-distancing and, when possible, teleworking.

Mr. Trump expressed optimism that as many as 29 states would be ready to open their economies “relatively soon,” though no specifics were provided. But, testing would need to expand in those states and across the country.

The U.S. has conducted more than 3 million tests for COVID-19 since the start of the outbreak, according to the WSJ. Experts say the level of testing would need to increase to millions of tests a week before Americans can return to work in large numbers.

The COVID-19 pandemic has shut down large segments of the U.S. economy and has raised the total number of Americans who sought unemployment benefits for the month to 22 million.

Three-phase process encourages states to make data-based decisions to reopen their state economies

The White House guidelines’ approach are based on county and state-specific conditions. The new guidelines, formally known as ‘Opening Up America Again‘, outline a three-phase process for opening up the country based on the scope of the outbreak in individual states. The guidelines say states should move to the first phase of reopening after exhibiting a downward trend of documented cases or positive tests over a two-week period.

In the first phase, movie theaters, restaurants, sports venues, places of worship, gyms and other venues could open with strict social distancing guidelines in place. The plan recommends that vulnerable people stay at home during the first phase, and prohibits visits to nursing homes and hospitals. Some people could return to work in phases, although telework would still be encouraged.

In the second phase, nonessential travel could resume and bars could open with some restrictions. Schools and youth activities could reopen.

For phase three, there would be no restrictions on workplaces and vulnerable people could resume social interactions, but should seek to follow social distancing. Visits to hospitals and nursing homes could resume.

Sources:

1. https://www.whitehouse.gov/wp-content/uploads/2020/04/Guidelines-for-Opening-Up-America-Again.pdf
2. https://www.wsj.com/articles/coronavirus-surges-in-some-asian-countries-that-had-been-lightly-hit-11587031743
3. https://www.wsj.com/articles/trump-set-to-unveil-guidelines-for-lifting-coronavirus-restrictions-11587050541

Gilead Sciences experimental drug is reportedly showing promise for treatment of the coronavirus.

The University of Chicago Medicine Hospital reports that patients with COVID-19 treated with Gilead Sciences’ experimental antiviral drug, Remdesivir, in a clinical trial showed “rapid recovery in fever and respiratory symptoms with nearly all patients discharged in less than a week”, medical site STAT reported.

The University of Chicago Medicine recruited 125 people with COVID-19 into Gilead’s two Phase 3 clinical trials. Of those people, 113 had severe disease. All the patients have been treated with daily infusions of Remdesivir. 

“The best news is that most of our patients have already been discharged, which is great. We’ve only had two patients perish,” said Kathleen Mullane, the University of Chicago infectious disease specialist overseeing the remdesivir studies for the hospital. She added: “Most of our patients are severe and most of them are leaving at six days, so that tells us duration of therapy doesn’t have to be 10 days. We have very few that went out to 10 days, maybe three,” she said.

Patients rush to join studies of remdesivir drug

But Gilead Sciences urged caution on drawing conclusions from the report. Gilead said the totality of the data from the trial needed to be analyzed, and expects to report results from a study in severe COVID-19 patients at the end of the month, and data from other trials in May.

“The entire world has been waiting for results from Gilead’s clinical trials, and positive results would likely lead to fast approvals by the Food and Drug Administration and other regulatory agencies,” STAT reported. “If safe and effective, it could become the first approved treatment against the disease.”

Currently, there is no FDA approved treatments or vaccines for the coronavirus.

REMDESIVIR IS AN INVESTIGATIONAL PRODUCT AND HAS NOT BEEN APPROVED ANYWHERE GLOBALLY. THE SAFETY AND EFFICACY OF REMDESIVIR FOR ANY USE HAVE NOT BEEN DETERMINED.

References:

1. https://www.statnews.com/2020/04/16/early-peek-at-data-on-gilead-coronavirus-drug-suggests-patients-are-responding-to-treatment/
2. https://www.reuters.com/article/us-gilead-sciences-stocks-idUSKBN21Z25V
3. https://www.usatoday.com/story/money/2020/04/17/remdesivir-coronavirus-drug-gilead-sciences-covid-19-treatment/5150793002/

REUTERS APRIL 15, 2020 / 10:29 AM

Some governors believe their states ready to reopen after coronavirus shutdown, CDC head says

Governors of about 20 U.S. states where the new-coronavirus pandemic has had a low impact believe they may be ready to start the process of reopening their economies by President Donald Trump’s May 1 target date, a top U.S. health official said on Wednesday.

Robert Redfield, director of the Centers for Disease Control and Prevention, said the CDC was prepared to assist those states in the process of lifting restrictions aimed at controlling the spread of the virus, which has contributed to the deaths of at least 28,000 people across the country.

“There are a number of states – 19, 20 states – that really have had limited impact from it. So I think we will see some states that are – the governors feel that they’re ready – we’re poised to assist them with that reopening,” Redfield said in an interview with ABC’s “Good Morning America.”

Yet, health experts say that to avoid a second wave of infections as people return to work in certain states, extensive testing must be available to track infections, as well as contact tracing and antibody testing to learn who had been previously infected and might have some immunity.

Reopen coronavirus plan

The CDC and the Federal Emergency Management Agency have put together a public health strategy to reopen parts of the country as part of the larger White House effort to get Americans back to work, the Washington Post reported.

The plan cites three phases: A national communication campaign and community readiness assessment through May 1; increased emergency funding and production of testing kits and personal protective equipment through May 15; and staged reopenings depending on local conditions.

Read more: https://www.reuters.com/article/us-health-coronavirus-usa-idUSKCN21X25I

Global Tracker: https://graphics.reuters.com/HEALTH-CORONAVIRUS-USA/0100B5K8423/index.html

Updated: April 15, 2020 2 pm

Eligible Americans with direct deposit accounts set up have begun to receive their coronavirus relief payment.

Over 80 million Americans will see the coronavirus stimulus checks deposited into their bank accounts today. 

The first round of checks, which are part of the federal government’s response to unprecedented unemployment levels and financial strain caused by the coronavirus pandemic, were automatically deposited into the bank accounts of those who filed a 2018 or 2019 tax return and received a refund via direct deposit. 

Social Security retirement and disability beneficiaries will also automatically receive their payments.

Those who do not typically file tax returns and have not provided the IRS with their bank account information, as well anyone receiving paper checks will have to wait a bit longer, according to the U.S. Treasury.

No checks have been mailed yet, and it is expected to take a few months for all of them to be sent out.

You can track your payment with the new IRS Get My Payment tool. You will need to input your Social Security number and the mailing address on your last tax return to check the status of your check.

IRS deposited the first Economic Impact Payments into taxpayers’ bank accounts.

The payments, also referred to by some as stimulus payments, are automatic for most taxpayers. No further action is needed by taxpayers who filed tax returns in 2018 and 2019 and most seniors and retirees.

According to the IRS, “We know many people are anxious to get their payments; we’ll continue issuing them as fast as we can.”

For security reasons, the IRS plans to mail a letter about the economic impact payment to the taxpayer’s last known address within 15 days after the payment is paid. The letter will provide information on how the payment was made and how to report any failure to receive the payment. If a taxpayer is unsure they’re receiving a legitimate letter, the IRS urges taxpayers to visit IRS.gov first to protect against scam artists.

For #COVIDreliefIRS updates see: irs.gov/coronavirus

Drivers that stay home have fewer accidents and file fewer claims.

Many U.S property-casualty insurance companies are planning to refund a percentage of automobile policy holders payment due to the COVID-19 pandemic and the many stay at home orders that are in place across our nation.  As a result, trends show that Americans are “heeding the calls to suspend nonessential travel, leading to fewer miles driven and fewer accidents”.

For example, one the country’s largest property-casualty insurers indicated to its policy holders that it “will be returning $520 million to its members. This payment is a result of data showing members are driving less due to stay-at-home and shelter-in-place guidance across the country. Every member with an auto insurance policy in effect as of March 31, 2020, will receive a 20% credit on two months of premiums in the coming weeks.”

Refunding a percentage policy holders automobile premium payments makes sense since Americans are driving less and as a result, are involved in substantially less traffic accidents and filing significantly less claims.  During unprecedented times like these, it behooves all property-casualty insurance company executives to be a part of the solution and put cash back into consumers’ wallets by refunding a portion of policy holders premium.  Otherwise, they and the companies they lead will be unduly profiting from this pandemic nightmare that has spread across the U.S.

The amounts may be small relatively speaking, but every little bit will help if it puts dollars into Americans’ wallets.

1. https://communities.usaa.com/t5/Press-Releases/USAA-to-Return-520-Million-to-Members/ba-p/228150?_ga=2.107157259.825316722.1586454769-212589225.1586454769
2. https://www.aarp.org/auto/car-maintenance-safety/info-2020/coronavirus-car-insurance-premium-refund.html