$Nasdaq Composite Index (.IXIC.US)$.were going to get hit wi...
$Nasdaq Composite Index (.IXIC.US)$.were going to get hit with a double whammy, how's that for a technical term..
over the past 30 days the cost of shipping in a conex shipping container across the waterway whether it's from Asia or Europe has increased by 30%.
this morning I read multiple reports they're expecting a further increase of another 10 to 15% as a result of the strike. you're going to have massive ships sitting at Port unable to offload and will remain stagnant not being able to go back overseas and pick up more goods and bring them back. because of the reduction in the fleet of ships and this also takes a consideration of those that have to sail all the way back around to another port in California to offload. this will take a significant supply of these massive ships out of the fleet so the remaining ships are going to command a tremendous premium.
this is going to deteriorate margins and will cause companies to miss earnings if this strike which is now underway continues beyond 7 days.
when you look to buy a stock I encourage you to go back in history during covid and see how much of the company's business was affected as a result of supply chain shortages and the ships that were stacked up 10 mi deep off the coast of California because they were not able to offload.
if the company suffered from problems back then they're highly susceptible to the same problems of what's going to happen if the strike continues beyond one week.
in other words they're going to miss their earnings their margins will suffer they're going to either have to guide lower or you're going to get smacked on the chops in the form of a lower stock price when they announce their earnings
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Snow_Koala : So, can it be shorted?
10baggerbamm OP Snow_Koala : everything can be shorted if they're stock available or you can buy puts
4mayflower : entire east coast ports all on strike?
10baggerbamm OP 4mayflower : yes and gulf