Guangzhou Restrictions Affect Macau Casino Stocks

Guangzhou Restrictions Affect Macau Casino Stocks

The coronavirus is still a big issue that has yet to be dealt with. Countries impose restrictions and lockdowns to lower the coronavirus curve of new cases. China is one such country and it has a zero-tolerance policy when it comes to this virus.

Recently, the government introduced new restrictions to help battle COVID. The Macau region is also affected by the restrictions and so is Guangzhou. These new restrictions affect casinos all over Macau which is why the stocks have dropped significantly.

China’s Zero-Tolerance COVID Policy Is Still in Effect

China has been dealing with COVID the hardest as the virus originated in the country. It’s the country that has had the biggest number of positive cases. Nowadays, the number of positive cases has also risen which has prompted the new wave of restrictions.

Another factor to consider is the recent election that took place in China. The Communist Party needed a leader and an election was needed. The election ended in favor of the current president Xi Jinping. In other words, he was reelected as president. After the election, it was expected that the restrictions will loosen up, but the president introduced new ones.

Beijing and Guangzhou have been directly impacted by the restrictions and so has the entire Macau region. The president ordered schools and restaurants to close down to help in the battle against the new wave of the coronavirus.

The restrictions are needed but have taken their toll on the economy of the entire country. This is especially visible in the Macau region as a chunk of the economy depends on casino operations. The stocks of Wynn Resorts dropped to 6.36%, and those of Melco Resorts and Entertainment dropped by 9.39%. Moreover, Las Vegas Sands lost 8.65% due to the new restrictions.

The thing about the coronavirus is that it shows no signs of stopping. It’s still an issue that all countries need to deal with. China has decided to take on a strict approach with a new wave of restrictions. This will certainly lower new COVID cases, but it will also impact the economy.

It’s also possible that the Chinese government will introduce new measures to help keep the economy up. Battling the virus is just one side of the coin, the other side of it is keeping people employed, and invested in their businesses and by taxing their revenue the country will stay afloat.

The president has experience in dealing with the virus which is why it’s unlikely that he will leave China’s economy in shambles. Time will tell how China will continue to adapt to curb the rising tide of COVID.

Conclusion

Countries will continue to implement all sorts of measures when dealing with such a devastating virus. The Macau region will suffer because of the new restrictions, but it’s possible that new economic measures will help keep the economy of the region and the country in place. Both are needed for China to thrive in these troubling times.

About the author
Andrea Rodriguez
Andrea Rodriguez is a talented writer who has made invaluable contributions to CasinoEncyclopedia. With a keen interest in the dynamic world of gambling and a flair for journalistic storytelling, Andrea has been instrumental in delivering timely and insightful news articles to the platform's audience. Through her exceptional research and reporting skills, Andrea has ensured that readers are always informed about regulatory changes, industry trends, and noteworthy events, ensuring current and relevant information for casino enthusiasts worldwide. With a passion for detail and an eye for captivating stories, Andrea's work continues to shape CasinoEncyclopedia.com as a go-to news hub in the gambling community.

Related News

Green Hills Heritage Raises 15K on Casino Night

Green Hills Heritage Raises $15K on Casino Night

Casinos are usually associated with Vegas and going all in for the possible jackpot. High rollers certainly appreciate this, which is why they frequent these venues. But casino games aren’t just associated…
Oct 20, 2022 Business
Hawaii Woman Wins $717K Jackpot at Vegas Casino

Hawaii Woman Wins $717K Jackpot at Vegas Casino

Las Vegas is the kind of place that gets a lot of visitors. But there are also other places across the state that have casinos to offer. Players come from all over…
Oct 17, 2022 Business
Vegas Player Wins $3 Million at the Venetian

Vegas Player Wins $3 Million at the Venetian

Vegas has its fair share of casinos and lots of people come to visit them. Some come for entertainment while others go after a prize. They either win or lose, but they…
Oct 12, 2022 Business
New Jersey Casino to Raise Cancer Awareness

New Jersey Casinos to Raise Cancer Awareness

The gaming industry isn’t known just for entertaining people. They are known to get together for a cause and organize tournaments and fundraisers. You can get a glimpse of that side of…
Oct 05, 2022 Business
Florida Casino Shelters Hurricane Survivors

Florida Casino Shelters Hurricane Survivors

A casino venue is a place that people visit to play some games. They might be looking for a prize to win or they might be looking for a thrilling atmosphere. Either…
Oct 04, 2022 Business
Former Senator Proposes New Hampshire Casino

Former Senator Proposes New Hampshire Casino

New casinos are rising all over the States. That’s because the industry is looking to expand and new projects are mutually beneficial to the industry and the community. But before any such…
Sep 29, 2022 Business
Farnham Lands 250,000 Jackpot in Newcastle

Farnham Lands £250,000 Jackpot in Newcastle

There are lots of casinos available in Newcastle because there are lots of people that like to enjoy a casino game once in a while. Most UK casino fans can also enjoy…
Sep 28, 2022 Business
Australian Player Nabs 51K Jackpot Online

Australian Player Nabs $51K Jackpot Online

Australia has its fair share of casino venues and they are visited by loyal players. Naturally, other visitors walk through the doors daily. Some of them are lucky enough to grab a…
Sep 27, 2022 Business
Macau Shares Rise After 3 Grueling Years

Macau Shares Rise After 3 Grueling Years

The thing about the pandemic is that it’s far from over. It took everyone by surprise and lots of people and businesses suffered. They had some time to recuperate, but with the…
Sep 27, 2022 Business
Louisiana Casino Revenue Drops Sports Betting Revenue Rises

Louisiana Casino Revenue Drops, Sports Betting Revenue Rises

Casinos have revenues spanning in the millions since lots of people visit them. They are all over different states in the US and their revenues will seem pretty good to any regular…
Sep 23, 2022 Business
A Manhattan Casino in the Making

A Manhattan Casino in the Making

Certain states have turned that have yet to legalize casinos in the States. But a larger number of them offer licenses to operators for establishing land-based casino venues. New York is one…
Sep 19, 2022 Business
Seminole Casino Hotel Increases Employee wages

Seminole Casino Hotel Increases Employee Wages

Employees of the Seminole Casino Hotel were met with some good news recently. The Florida-based casino and hotel resort is increasing the wages of its employees by upwards of 60%. Close to…
Sep 14, 2022 Business