Associated Press / Manuel Balce Ceneta
- The White House spoke to Wall Street giants like Stephen Schwarzman and Paul Tudor Jones on Tuesday about how they see the coronavirus-stricken economy and difficult financial markets. CNBC reported.
- President Trump and Vice President Pence avoided talking about possible relief measures and instead asked investors how they see the economy recovering from the aftermath of the pandemic.
- People who called said that the economy should not collapse and that a certain deadline for resuming regular activities might be appropriate, sources told CNBC.
- In a Fox News town hall after the call, Trump said he'd like to see the economy. "Rarely until Easter, "Despite advice from top public health experts.
- You can find more stories on the Business Insider homepage.
President Donald Trump and Vice President Mike Pence spoke to some of Wall Street's biggest names to learn how the corona virus affects the U.S. economy and financial markets. CNBC reported Tuesday afternoon.
White House calls included Stephen Blackman from Blackstone, Paul Tudor Jones from Just Capital, Jeffrey Spokesperson from Intercontinental Exchange, Robert Smith from Vista Equity and Dan Loeb from Third Point. according to CNBC.
Potential measures to combat the virus were not addressed. Instead, the "productive" call focused on how investors view the current situation, sources told CNBC. The callers emphasized the idea that the economy must not get out of hand and that a certain date may be required for regular activities to resume.
The conversation also looked at the Federal Reserve's easing measures and other central bank measures to protect businesses from corona virus damage.
The conversation took place before Trump joined Fox News for a city hall and said he wanted the economy "Rarely until Easter"The deadline is much earlier than suggested by many epidemiologists and there is a risk that the virus will spread further in the United States.
So far, the corona virus has led to historically strong declines in several important US industries. According to a Tuesday release, IHS Markit's composite purchasing managers index rose from 49.6 to 40.5 in March, marking an all-time low for the metric and its largest decline since the financial crisis.
March data "roughly points to a 5% drop in GDP", but further measures to curb the virus will result in a "much steeper drop" in the second quarter, said Chris Williamson, chief economist at IHS Markit, in one Explanation.
Major banks expect the US to enter recession in the first half of the year. A few say that the nation is already in an economic contraction.
With the Fed backing money markets through capital injections, asset purchases, and credit facilities, Congress had difficulty adopting an almost $ 2 trillion stimulus package. Senate Democrats blocked legislation on Sunday and Monday, calling for greater protection for workers and more scrutiny of how the White House can grant corporate aid loans.
Markets wiped out losses Monday at Tuesday's meeting when investors hoped the Senate would approve a far-reaching budget relief.
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(tagsToTranslate) Economy (t) Wall Street (t) White House (t) President Donald Trump (t) Vice President Mike Pence (t) Recession (t) Coronavirus (t) Stephen Schwarzman (t) Paul Tudor Jones (t) Dan Loeb (t) Robert Smith (t) Jeffrey Speaker (t) Federal Re