Skip to main content

16/4/2020 - Still gloomy

1) ‘Severe and unprecedented’: IMF warns Asia’s economy will not grow at all in 2020 because of coronavirus
- Negative. I feel that this covid-19 is a one-two punch, on the backdrop of a flat growth that was tethering on a recession, the economy really did not have any capacity to allow for a pandemic to happen. therefore, the growth would probably not make it.
- Cases in which I believe COVID-19 would have not affected the economy, a) a more advanced economy that is not very dependent on traditional roles like building, manufacturing, more technical roles, but as we know we aren't really there, and not especially in Asia.

2) Grab has ‘ample liquidity’ to tide through a 3-year recession, CEO predicts
- Neutral. I mean I dunno if they really have a lot of liquidity still a private firm eh... ok they raised quite a few monies from investors which I guess is giving it the liquidity it needs. However, it is still loss-making eh, I dunno how much grab is able to get from the food delivery... and how profitable that is. I hope that they can through this opportunity really ramp up their effort and get more monies, but to be fair, I don't think that it would be 3-years long la, at most maybe 2 years, on the condition that the vaccine and drug development is good enough, which is a big IF. In the end I think that it'll probably survive this, but it would be quite cash tight after this,

3) China has ‘zero chance’ of acquiring ‘vulnerable’ Europe tech firms as EU urges states to take stakes
a) would China be very interested in it? I mean sure, like if you are cash rich, maybe why not just get the company... but if they are also struggling maybe it is such a big concern.
b) plus don't they have some legislature about foreign shareholders? (ok seems like only US only has ah...)
c) but 'zero chance'? hmmm maybe by law ah, without it I think they are quite powerless to do anything about it.
d) but the more critical thing for European companies to think about would be how to improve these companies, China essentially sees these companies as raw materials that are sold at cheap so that they can expand operations. Trying to limit competition by a law is not the way to improve yourself, eventually, China will find a way to get those resources and by then Europe would be left in the dust.
e) in the ideal situation, China and the other countries will be sharing the IT, I think it is also because china is not really sharing their information like the other countries, they just simply lack the trust of the other countries. they should try to make themselves more legitimate. But I guess that just goes against everything they are eh.

Comments

Popular posts from this blog

13 April 2020 - The beginning yet again...

Starting this blog for the n-th time, hopefully, I keep up with it this time. News 1) Disney World will furlough 43,000 union workers during coronavirus shutdown - Neutral News. I feel that is is a reasonable step for the management to take, especially since there is yet an end in sight, so it would be better to send their staff back. 2) Dow futures slide more than 300 points as investors weigh coronavirus and oil outlook - Positive News. OPEC+ agreed to cut production by 9.7 million barrels per day... - At least the oil issue has come to an end. Lmao but how did Russia admit defeat, but I guess Russia is also not really in good shape now eh... but from some reports seems like they are fine... but dunno if they are telling the truth lmao, cus Russia will be russia. 3) Fed’s Neel Kashkari says coronavirus economic recovery ‘could be a long, hard road’ - Negative Opinion. I kind of agree with what he says that without a good vaccine or cure, it will b...