Typhoon Bavi hit Taizhou and forced Chinese authorities to move nearly 2 million people out of harm's way. That's more humans relocated in one weekend than have ever actually read a 10-K filing.
The evacuation worked. People listened to experts who told them a massive storm was coming and they needed to leave immediately or face catastrophic consequences. Not one person in Taizhou posted "but what if the meteorologists are wrong?" on social media while the winds picked up. Nobody decided to ride it out because their uncle had a feeling typhoons were overblown. They just left.
Retail traders watch their portfolios drop 40% in three days and call it a buying opportunity. They double down on companies with no revenue because someone on Twitter said the chart looked bullish. They hold through earnings when every analyst says sell. But tell them a Category 4 storm is approaching and suddenly they believe in risk management.
The Chinese government gave evacuation orders and 2 million people complied without consulting their horoscope or waiting for confirmation from a podcast host. They didn't need three different weather apps to agree. They didn't check if the typhoon was priced in. One credible warning and they acted like adults who understand probability.
Some guy in New Jersey is reading this right now with $18,000 in out-of-the-money calls expiring Monday, down 92%, thinking he's nothing like those idiots who evacuate for storms. He's got conviction. He's done his research. The difference is Taizhou residents went home three days later. He's going to Dollar General.
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