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Economy

“Dow drops 650 points on growing omicron fears, Powell taper comments”

“Stocks tumbled Tuesday, reversing Monday’s rebound on Wall Street, as investors reassessed risks associated with the new Covid variant, omicron. Major averages dropped to their session lows after Federal Reserve Chairman Jerome Powell said the central bank will discuss speeding up the bond-buying taper at its December meeting.

The Dow Jones Industrial Average dropped 652.22 points to 34,483.72, dragged down by losses in American Express and Salesforce. The S&P 500 shed 1.9% to 4,567.00. The technology-heavy Nasdaq Composite dipped about 1.6% to 15,537.69. The small-cap benchmark Russell 2000 dropped 1.9% to 2,198.91 as economically sensitive names got hit hardest…”

https://www.cnbc.com/2021/11/29/stock-market-futures-open-to-close-news.html

No, no, no. Omicron is not what investors are afraid of. They’re afraid of the lock-downs governments will impose because of the virus. It’s tanking the economy. Airline stocks are tanking as we speak because of restrictions.

Let me tell everyone a little secret right now. If you know how to short stock you should do it to every travel related stock every time they speak of restrictions, lockdowns, masks mandates, etc. You’ll make a killing off this strategy because this idea to stop the economy, for any given reason, whether you agree with it or not, will always send markets into decline.

To be honest I should look more into how to short stocks myself. Right now I only use robinhood as a broker so I can’t. That’s about to change soon.

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