Senior White House figures have privately informed powerful financiers about their concerns about the growing coronavirus epidemic, while continuing to insist in public that there is little to worry about, the report said.
Behind-the-scenes briefings gave traders a very valuable insight into imminent destruction.
‘Short everything’ was an investor’s reaction, using the term Wall Street to rely on the idea of companies ’share prices falling soon.
The New York Times received a memo written by William Cam Lennon, a hedge fund giant and board member of the Hoover Institution.
Kailan summed up a series of private sessions held at the Hoover Institution in February with senior members of the president’s economic team.
The New York Times said his memo spread to the financial class.
At a session at the White House on February 24, Hoover Institute Board members, Senior Economic Adviser to the President, Tasmas J.
On February 24, Larry Cudlow told CNBC that there was little reason to worry about COVID.
White House economic officials in private were painting a very pessimistic picture
People with access to information were able to manage their money in times of crisis
That morning, he told the National Association for Business Economics at a public meeting that the potential economic effects were “exaggerated.”
The next day, Larry Cudlow, director of the National Economic Council, told the board that the virus had spread to ‘U.S. Contained in, to date, but now we do not know ‘.
Hours earlier, Cudlow had appeared on CNBC to say that the virus was being blocked in a way that was “too close to Airtieth”, and that there was no cause for alarm.
‘We’ve included that,’ he said.
‘I wouldn’t say airtight, but it’s very close to airtight.’
He added that while the outbreak was a “humanitarian catastrophe”, it would not be an “economic catastrophe”.
‘Stumbling a little. We are looking for numbers; It’s a little afloat, ’Cudlow said.
‘But at the moment – there’s no supply disruption yet.’
Hoover Institution board members were briefed at the White House shortly in February.
Cudlow confirmed to the New York Times that he made the remarks at a Hoover meeting, adding that in his mind, they were similar to his remarks on CNBC.
“It was never my intention to give false information,” he said, adding that the number of cases in the United States at the time was no more than 20, and he expected a travel ban to limit further spread.
At the end of the three-day meeting of the Hoover Institution’s board, however, Clan Lennon’s memo showed a private level of concern, which did not match the announcement.
According to a copy of the memo obtained by the paper, the adviser wrote that ‘what happened to me,’ that almost every officer raised the virus, ‘as a point of concern, quite obscure.’
The effect of Clan Lennon’s memo was rapid.
By late afternoon on February 26, when emails from Appleus to other trading companies surged, U.S. stock markets had moved closer to 300 points from their highs last week.
Even Donald Trump knew more than he let them go.
Bob Woodward reveals in his book that Trump told him in February that coronaviruses ‘pass through the air’ and are ‘even more deadly than your hardness’.
At the time, he was telling people it was no worse than the flu.