Could this unusually cold winter weather be the cause of an economic collapse?

#1
Rasputin_Vol

Rasputin_Vol

"Slava Ukraina"
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#1
U.S. ISM Factory Index Declines More Than Forecast - Bloomberg

Factories expanded in January at the weakest pace in eight months as colder-than-usual winter weather slowed demand and production, bringing a halt to recent momentum in U.S. manufacturing.
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Extreme weather threatens global economies - NBC News.com

Much of the United States is currently suffering through extreme cold which essentially shut down the city of Atlanta this week. Evan Gold, of Planalytics, a business weather consultant, estimated the economic cost of just one 4-day cold spell earlier this month at $5 billion.

The potential damage caused by a storm on a city is weighing on investors' minds, according to Jacques Gordon, global strategist at LaSalle Investment Management, a real estate investment manager with $47.6 billion of assets under management.

"New York was a big wake-up call, as was the Philippines' typhoon," he told CNBC. "We're not done with this. Volatile weather is going to be a major news story looking ahead."
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After holiday-shipping woes, UPS says 4Q profit will fall short of Wall Street expectations | Star Tribune

DALLAS — UPS may be forced to change the way it plans for the holiday season after December shipping problems took a bite out of fourth-quarter earnings.

The company said Friday that it took "extraordinary" steps to meet holiday demand, including hiring 85,000 seasonal employees — 30,000 more than planned.

But the company's network of brown trucks and planes was overwhelmed by what it termed "an unprecedented level" of online shopping including "a surge of last-minute orders." Bad weather and a shorter shopping season were also factors, it said in a news release. Company officials declined interview requests.
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A shorter shopping season?????



Christmas gloom for high street stores as weather and online competition hit sales figures - Mirror Online

BDO said: “Following on from what was a solid month of trading in November, many retailers will have been left disappointed by a month of lacklustre consumer demand in the crucial Christmas trading period.”

“Pent-up demand was expected to play a larger role as we moved closer to Christmas day but in reality it never fully took hold,” it added.

Bad weather amid the pre-Christmas storms hit trading for many, with fashion sales in particular suffering, down 4.6% last month.
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#2
#2
Oh boy, something for Barry to blame his problems on. Damn that Republican Bushmade Global Warming from the ME!!
 
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#12
#12
Interesting premise. We just got approved for a new vaccine for the European marketplace and have another pre-approval for an Asian country next week. The recent weather is preventing operators from coming in, thus slowing production. If it delays or prevents the audit next week, then it threatens to stop an order for several million doses per year starting in Q4. It is no wonder the Site Director is a little stressed these days.
 
#13
#13
We are still seeing the weather used a reason for the sluggish economy.

3. Blame it on the rain and snow: The economy wasn’t doing so badly — it was just the weather. The basic notion that a spring thaw would also thaw the economy has held true. Simply look at the big snap-back in Q2 GDP, with early estimates of 4% growth, for proof.

4. Consumers are back: Partially because the drag caused by bad weather is behind us and partially because of other improving economic conditions, consumer spending is quite healthy and driving GDP expansion.
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7 reasons the U.S. economy is rock solid - Jeff Reeves's Strength in Numbers - MarketWatch
 
#16
#16
Exogenous events don't cause economic collapse. Look at the tidal wave that hit Japan. Their market dropped 10% but then rebounded 60%. Exogenous events are just temporary.
 
#18
#18
A storm will not cause an economic collapse. It's more likely to create jobs for repairs and such. Smart businesses will prepare for events like this. If you fail during this time, you were never meant to be in business.
 
#19
#19
Burger said:
A storm will not cause an economic collapse. It's more likely to create jobs for repairs and such. Smart businesses will prepare for events like this. If you fail during this time, you were never meant to be in business.
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Most of the retailers have their Black Friday specials available to purchase on line.
 
#23
#23
Rasputin_Vol said:
That still didn't stop them from using the weather as an excuse last Christmas.
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Business owners like to use excuses like the economy, weather, or lack of customers for their failure. Anybody with a brain knows that these business owners fail because of a IQ deficit.
 
#24
#24
Burger said:
Business owners like to use excuses like the economy, weather, or lack of customers for their failure. Anybody with a brain knows that these business owners fail because of a IQ deficit.
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so despite numbers going down across the board, it's on the businesses. You're a special kind huh?
 
#25
#25
volfanbill said:
so despite numbers going down across the board, it's on the businesses. You're a special kind huh?
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Many businesses aren't failing though. Zig Zigglar once said that he does not believe in recessions. I actually don't either. Good business principles can keep a business afloat through bad times.

It seems like most businesses fail because of insolvency issues caused by negative cash flow. They were going to fail even if every day was perfect.
 
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