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Flu and world economic patterns

<![CDATA[Flu pandemic could KO airlines – Yahoo! News:

A mild global flu pandemic could present a buying opportunity for stock investors, while a severe outbreak could see profound changes in the world economy, according to a global Citigroup strategy note released on Thursday.

It’s certain that airline stocks are going to remain depressed and volatile until the world has a viable system for managing a pandemic rather than a series of stop-gap national measures. Moreover, the potential for stock valuations is more uncertain than Citigroup appears to allow in the research note, since they are only looking at a scenario where demand is impacted. What if an executive team from a major company traveling for business comes down with the flu and much of a corporate leadership team is decimated—flu deaths happen in clumps, they are not spread evenly across the population—which could tank a particular stock while the rest of the market is only mildly impacted by flu.

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