Goldman Sachs analysts predict that President Trump may lose the 2020 presidential election if the stock market continues to go down because of the coronavirus.
“If the coronavirus epidemic materially affects U.S. economic growth, it may increase the likelihood of Democratic victory in the 2020 election,” analysts for the company said in a report released Wednesday.
Janet Yellen, the former head of the Federal Reserve, also warned the coronavirus could lead to an economic downturn.
“It’s just conceivable that it could throw the United States into a recession,” she said.
The stock market has plunged over the last week because of concern over the coronavirus. The Dow Jones Industrial Average dropped Wednesday more than 4% as the market correction has reached record levels.
Trump held a press conference on Wednesday in an attempt to assure the public and stop the market free fall.
“The risk to the American people remains very low,” the president said. “We have the greatest experts, really, in the world, right here. We’re ready to adapt, and we’re ready to do whatever we have to as the disease spreads, if it spreads.”
