Coronavirus Latest: US Cities Enter Total Lockdown And Prepare For Massive Economic Disruption

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Posted: Mar 17, 2020 12:38 PM
Coronavirus Latest: US Cities Enter Total Lockdown And Prepare For Massive Economic Disruption

Source: AP Photo/David J. Phillip

The closures of restaurants, bars, and gatherings is picking up steam. If you absolutely have to be someplace, go now.

Only Essential Travel in the EU

As noted by Business Insider, the European Union will restrict all nonessential travel into the region for at least 30 days, European Commission President Ursula von der Leyen announced on Monday. Only essential travel will be allowed for at least a month once the plan is approved by European leaders.

The EU will ban all nonessential travel into Europe for 30 days to slow the spread of the coronavirusAll nonessential travel into the EU will be banned for at least 30 days, European Commission President Ursula von der Leyen said. www.businessinsider.com

Total Lockdown in France

The Guardian Live Update has these items of note.

France: France will close its borders, in coordination with other EU nations. Beginning on Tuesday, people will only be allowed to leave home for strictly necessary reasons including to go shopping – while keeping a distance of one metre from anyone else – to get medical help and for work if it could not be done from home. Individual sporting activity will be allowed, but no collective sports. French President Emmanuel Macron said the reinforced measures will be imposed for at least 15 days.

G20: An extraordinary G20 summit will be convened to discuss the pandemic, according to a statement from the office of the Spanish prime minister, Pedro Sánchez, which says the decision was made during a call with the Saudi crown prince. [Will they do this by video conference or all all these people going to gather in one place?]

UK: Prime minister Boris Johnson unveiled a series of stringent new restrictions, including a 14-day isolation for all households with symptoms, a warning against “non-essential” contact, and an end to all mass gatherings.

Germany: Germany has closed places of worship, bars, restaurants, museums and cinemas. Announcing the plan, Chancellor Angela Merkel said: “The more individuals stick to these rules, the quicker we will get through this phase.”

Canada: Prime minister, Justin Trudeau, says he will close his country’s border to foreigners. Only four Canadian airports will be allowed to accept international flights, he said. The closure will not apply to commerce or trade, Trudeau said.

France Elections Postponed

US Expands Travel Ban from UK and Ireland

New Jersey Shutdown

D.C. Shutdown

Here's the Scary One - San Francisco Lockdown

The City will legally prohibit residents from leaving their homes except to meet basic needs including visiting the doctor, or buying groceries or medicine, until at least April 7, Mayor London Breed announced Monday.

Leave Now if You Have To Be Somewhere!

  1. San Francisco residents may not leave their homes except to meet basic needs including visiting the doctor, or buying groceries or medicine, until at least April 7.
  2. More cities will follow. Trump may shut down domestic travel.
  3. If you absolutely have to get somewhere, go now. There may not be a flight tomorrow.
  4. If you get where you need to be, then be prepared to stay. You might not be able to easily leave.

I do not expect military enforcement as happened in Italy, but as noted in Coronavirus Week in Review: Top 10 Things That Happened last week, New York City will Establish a “Containment Area” Using the National Guard.

Importantly, domestic travel may be shut down at any time.

If you are on the West Coast and absolutely have to get to the East Coast, do not rely on last second air travel to get you there. Then be prepared to stay.

Lost Wages

That is three weeks of lost wages for San Francisco workers unless businesses pick it up.

Business won't unless forced, and if forced many will go under.

Fed Fires All Its Bullets in a Single Shot

In and emergency meeting on Sunday, I commented the Fed Fires All Its Bullets in a Single Shot

QE is not going to fix a crash in demand. The Fed can buy assets but so what?

It cannot give money away to individuals or businesses compensate for lost wages.

I cannot possibly emphasize enough how enormously deflationary this setup is.