Well the first quarter of 2020 is in the books, but the aftershocks of the worst market quarter since 1987’s crash may only be foreshadowing.
For the record the Dow Jones index fell almost 24% from its all-time highs, the S&P 500 cratered 20% from its lofty heights just weeks earlier.
Crude oil prices are now trading at $20/ barrel, which when adjusted for inflation is almost equal to a gallon of gas during the height of the 1973 oil embargo price.
Projections for this quarter are just as dismal as the US continues its self-imposed economic shutdown until at least April 30. Analysts are forecasting a 30% to 40% hit to Gross Domestic Product for the second quarter, prompting a $4 trillion bail out package passed last week and signed by President Trump.
In his daily White House briefing President Trump warned Americans that the next three weeks will be devastating as Covid-19 cases and deaths climb, but hoped the mitigation efforts will soon see a positive downturn in the battle.
The models unveiled Tuesday by Dr. Anthony Fauci and Dr. Deborah Birx, which was offered as evidence of why President Trump moved off it Easter miracle stance and continued the shutdown to the end of the month, projected possible 200,000 US deaths by early June.
This number was compared to a unimaginable 2.2 million deaths if the US did very little in the way of intervention during the pandemic.