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Italy COVID-19 is the country the world is watching. Here is some data to provide context...

There is no playbook for equities in a pandemic.  The sudden stoppage to the economy (aka "heart attack") coupled with dislocations across asset markets (is this due to systematic unwinds?) and the collapse in oil have made equity markets merely a residual calculation of sentiment and perhaps a "liquidity reservoir" (whatever participants cannot accomplish in other assets classes, they accomplish in equity markets). But financial markets are focused on multiple fronts on COVID-19: (i) rapid spread in the developed world (ii) financial implications of the "heart attack" on the economy (iii) lasting social risks post-COVID-19POINT #1: ECONOMIC HEART ATTACK IMMEDIATELY AFFECTS 26MM JOBS OR 17% OF LABOR FORCEWe have already seen estimates for US GDP for 2Q, and the reality is the economy suffered a sudden stoppage.  This will produce some completely incomprehensible economic data.  Jobless claims next week are likely to soar to 1mm-3mm or worse, which far exceeds those seen during 2008 and way above the 200k seen for most of 2019-2020.  This is not a distortion, social distancing and fear have caused many service businesses to see a sudden stop.Think about that for a moment, if service businesses see a sudden drop in customer interactions and traffic, they will naturally cut ba...

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