March 2020 Passive Electronic Component Monthly Market Research Report
MARCH 2020 MARKET UPDATE:
• March became a pivotal month in the history of the global economy.
• A pandemic known as COVID-19 impacted all major and minor countries of the world with short-term impacts that are unprecedented.
• The Paumanok Passive Component Raw Material Index plunged 19% in 36 hours.
• The Capacitor, Resistor and Inductor component data all tightened however.
• The economic impact is on BOTH manufacturing AND consumption
• The negative impact on manufacturing is due to the lack of personnel, and the closing of borders impacting freight shipments.
• The negative impact on consumption is due to a stay-at-home order impacting major consuming regions of the world.
• The hardest hit nations during the month of March were Italy, Spain, All of Europe in General; China and Korea. Impacted economically were all of Europe, all of the Americas and India.
• RAW MATERIAL PRICES ARE DECLINING WHILE COMPONENT SUPPLY IS TIGHTENING IN MARKETS MOST CRITICALLY AFFECTED BY THE PANDEMIC
• QUICK MESSAGE:
• The Anticipated Global Correction- A Massive Shift- Occurred in March 2020
• After 32 years of publishing, remember to rely on the data, not on the rhetoric.
• This as a chance to increase positions in segments of the market at a big discount. In the 2009 cycle companies such as GE, DOW, BAC, GS, Swiss Re, Citigroup, JP Morgan and Las Vegas real estate Paid Huge Returns.
• In the 2009 cycle the Federal Reserve Balance Sheet Tripled from $800 Billion USD in 2007 to $2.4 Trillion in 2010. This absorbed a depression.
The March 2020 Report in PowerPoint Format