Corona Crisis - Hertz files for bankruptcy today
Hi,
today in the news from the Corona crisis battlefield, the first news to pop up in my news tab was that Hertz filed for bankruptcy.
Well, Corona put the last nail on the coffin as the car rental industry was disrupted by the car sharing industry.
We will see some more of this in the next weeks and months. The whole industry as we know it is in a major change.
Corona will just make that the changes will come faster and for sure in another direction as we would have expected. The stock market is fully detached from the reality.
Why do I say that the stock market is detached? Because the money that is pumped into the economy to save it, it is put as a safe heaven into assets and not used as it is supposed to be used, as a launch measure for the economy. People that have money buy shares, gold and silver at the moment.
It was a surprise that Hertz is bankrupt? No, it only surprised me that they filed today for bankruptcy on the weekend. Maybe it was a move to calm people down as the markets will react only on Mondays on this news.
Which is the next big company that will fill for bankruptcy in your opinion? Here I would think an airline that will not get state money.
Global corporations collapsing too I see. All the travel related industries, like hotels, guest houses, tourist beach towns, restaurants, etc to go bankrupt. Then there's the banks themselves, though they get bailed out hey? Farmers also taking a hit apparently. Probably so many industries that we can't even begin to imagine.