PAUL KRUGMAN DENOUNCES TRUMP'S WELFARE FOR WALL STREET GAME PLAN

Paul Krugman Celebrates Stock Market Rout Because He Thinks It Hurts Trump

Neilson Barnard/Getty Images for the New York Times

JOHN CARNEY

16 Mar 20204,680

0:44

Paul Krugman, the Nobel Prize-winning trade economist and New York Times columnist, celebrated the sharp decline of the stock market due to the coronavirus on the grounds that, in his opinion, it would hurt President Donald Trump.

“Economists, myself included, often make a point of saying that the stock market is not the economy, which it isn’t. It *is,” however, pretty much the Trump presidency,” Krugman tweeted. “Take away his magic talisman and there’s nothing left.”

Krugman was one of the most prominent economists to predict that markets would collapse following the election of Donald Trump.

Paul Krugman

✔@paulkrugman

Economists, myself included, often make a point of saying that the stock market is not the economy, which it isn't. It *is*, however, pretty much the Trump presidency. Take away his magic talisman and there's nothing left

5,729

1:29 PM - Mar 16, 2020

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NY Gov. Cuomo: Coronavirus ‘Has Triggered a Recession’

IAN HANCHETT

16 Mar 202045

1:01

On Monday’s broadcast of CNN’s “Cuomo Primetime,” New York Governor Andrew Cuomo (D) stated that the coronavirus “has triggered a recession.”

Cuomo said, “Add up all the costs, add up all the businesses closed, all the people who are going to be unemployed. The economy was teetering to begin with. They were talking about when the recession was going to start. I believe this has triggered a recession. I believe the bill and the bailout is going to be the second big federal episode here. You’re going to have mortgages foreclosed like 2008. You’re going to have business loans that you’re going to have to repay. … This is a deep, deep economic hole. You’ll have businesses close that never re-open, Chris, and you’ll have billions of dollars, not just in loss, but billions of dollars spent in getting ready for everything that we have to do.”

Follow Ian Hanchett on Twitter @IanHanchett

Dow Falls by Nearly 3000 in Renewed Coronavirus Collapse

Photo by JOHANNES EISELE/AFP via Getty Images

JOHN CARNEY

16 Mar 20206,086

2:06

Stocks fell sharply in the final hour of trading, accelerating the decline that began anew Sunday night in the futures market and took down the major indexes at the open of trading Monday morning.

The Dow Jones Industrial Average fell by 2.997 points, or 12.93 percent. The S&P 500 fell 11.98 percent. The Nasdaq Composite fell 12.32 percent. The Russell index of smaller companies fell 14.27.

This was the worst percentage drop since October 1987 for the Dow and S&P 500. It was the worst drop ever for the Nasdaq.

Every sector of the S&P 500 was down, with nine out of eleven down by double digits. Consumer staples were down by 6.99 percent and heath care stocks were down 9.99 percent.

All 30 Dow stocks were down for the day. The best performer was Walgreens Boots Alliance, which fell 2.4 percent. The worst four were Boeing, down 23.85 percent, Travelers, down 20.8 percent, Home Depot, down 19.79 percent, and Intel, down 18.04%.

The sell-off in stocks became more intense after the Trump administration announced new recommendations for dealing with the coronavirus that made the likely economic toll look more severe. Those include the recommendation that bars, restaurants, and public gathering places be closed and that people avoid gathering in groups of more than 10. The Trump administration also said schooling and work should be done at home and discretionary travel should be avoided.

President Donald Trump acknowledged that stocks have fallen sharply but said that the administration would focus on combating the virus rather than worry about the stock market.

“The market will take care of itself,” Trump said. “The market will be very strong as soon as we get rid of the virus.”