New York casinos have been shuttered for a while with no end in sight. Health concerns are keeping gamblers at bay. Why, then, are casino stocks at an all-time high?
It is a sign of crazy times. Investors are caught in some kind of gambler’s trap. It might be wishful thinking or just an illusion of the return to normalcy. But things at the New York Stock Exchange are clearly topsy turvy. It is one big, glorious NY casino.
Optimists are crowding the trading floor, super hopeful. They are busy buying and selling with absolutely no idea what any of it is worth.
According to Governor Cuomo,
“You don’t need a casino to maintain survival.”
And it looks like that casino is Wall Street. Everyone is denying the apocalypse. Don’t they know that JC Penney is bankrupt and so is Lord & Taylor – among many others!
Regional casinos are awaiting the aftermath of lockdowns. Players are flush with free Trump money, which is burning a hole in their pockets. But is it really business as usual in the gambling sector. The answer is a resounding no.
Perhaps it’s a good thing Cuomo is keeping the New York casinos closed. It’ll save them the losses of having to operate in morgue conditions.
The ones that are reopening are at half capacity, and that half capacity will be half utilized. The marginal gamblers won’t come because they’re busy trying to survive.
The diehard patrons will show up less than usual, as they might not particularly like the experience of gambling through plexiglass. Spies of course will be everywhere monitoring their every unmasked move. They are like casino police or bouncers.
How long will these regional casino stocks stay elevated. It just depends on how much longer the Wall Street dreamers are going to hang around.