This morning the market was open just a few minutes before the first circuit breakers were thrown and the market halted for 15 minutes, down 7%. Once re-opened we’ve been seeing a bit of a selling respite which is tough to trust. If we head back down the next trading halt will be when the market is down 13%. As I sit and watch the media it seems as if we’re waffling back and forth between a discussion surrounding the coronavirus and the oil crash.
It is becoming increasingly clear to me that the market is desperately searching for leadership from the top as in, the administration, and it’s just not getting it. This is not a political viewpoint but rather a general observation in that when there is significant uncertainty and volatility, it is natural for us as a society to look to leadership to be our guide. Whether we believe it or not, we want to be told that there’s a plan, a bigger picture view and ultimately that things will be ok.
Over the years we’ve had various leaders step up into that role. I vividly remember post 9/11 when mayor Giuliani took the reigns and inspired confidence. During the financial crisis, Hank Paulson, regardless of how controversial, stepped in and paved the way.
While I am confident in the future of our country and that we will survive this, it is also clear to me that we’re in desperate need of someone to step out and inspire confidence.