The dramatic slide in the US stock market in recent days is effectively a forecast that an economic recession is fate. The assumed catalyst: coronavirus blowback. No one can dismiss this risk, but at the moment there are no hard numbers to confirm that a US recession is near. Nonetheless, it’s all but certain that growth will slow, perhaps significantly. Deciding if the economy will contract, however, remains debatable. Mr. Market, however, is assuming the worst with an aggressive round of discounting the future. The challenge in the days and weeks ahead is determining if the incoming economic data support the market’s worst fears.
President Trump bans travel from Europe to US to battle coronavirus: BBC
State Dept advises citizens to reconsider traveling abroad: CNN
Germany’s Merkel: up to 70% of Germans could contract coronavirus: BBC
ECB expected to roll out major stimulus package to combat coronavirus: CNBC
Saudi Arabia gambles on oil-price war: CNN
US consumer price inflation picked up to 2.4% in Feb, highest since 2018: MW
S&P 500 drawdown near -20% bear market territory after Wednesday’s slide: