President Donald Trump is reportedly furious that stocks have been plunging, believing that health officials’ warnings have spooked investors, The Washington Post reported Tuesday night, citing two people familiar with the president’s thinking.
The president has reportedly cautioned aides against forecasting the impact of the virus over fears that stocks could fall further, The Washington Post said.
Stocks plunged Tuesday, with losses accelerating after health officials warned that the coronavirus is “likely” to continue to spread throughout the United States, warning that the American public should “prepare for the expectation that this is going to be bad.”
“Ultimately we expect we will see community spread in the United States,” Dr. Nancy Messonnier, the director of the CDC’s National Center for Immunization and Respiratory Diseases, told reporters on a conference call.
The Dow and S&P 500 dropped more than 3% on Tuesday, for the indices worst 2-day drops since Feb. 2018 and Aug. 2015, respectively.
Stocks came under pressure even after National Economic Council Director Larry Kudlow said the coronavirus-triggered selloff has created a buying opportunity for long-term investors. “The virus story is not going to last forever,” Kudlow said on CNBC’s “The Exchange.”
“To me, if you are an investor out there and you have a long-term point of view I would suggest very seriously taking a look at the market, the stock market, that is a lot cheaper than it was a week or two ago.” He also reassured investors that the U.S. has “contained” the coronavirus and it will likely not be an “economic tragedy.”
On Monday the president tweeted that the coronavirus is “very much under control in the USA” and that the stock market is “starting to look very good.”