National Emergency to be declared by President Trump in 3 p.m. Friday newser
WASHINGTON –A variety of sources confirm that President Trump plans to declare a National Emergency focusing on the coronavirus epidemic / pandemic at a Rose Garden news conference, scheduled for 3 p.m. ET Friday. The National Emergency declaration allows the President to make financial resources available to provide assistance to Americans affected by the coronavirus.
“The conference is set to occur shortly after Trump is scheduled to meet at the White House with major laboratory company executives about the response to the coronavirus outbreak….
“Trump’s emergency designation is expected to fall under the Stafford Act [which puts] FEMA in charge of what happens…
“[In addition,] French President Emmanuel Macron said Friday that he, Trump and the rest of leaders of the Group of 7 economic giant nations have “agreed to organize an extraordinary Leaders Summit by videoconference on Monday on Covid-19.”
“We will coordinate research efforts on a vaccine and treatments, and work on an economic and financial response,” Macron announced in a tweet.”
Wall Street reacts to cash infusion, news of the National Emergency announcement
On Wall Street, stocks finally reacted to the massive cash infusion the Federal Reserve launched late Thursday. That move briefly ignited a flurry of buying with a potential for blunting yesterday’s stock massacre. But it failed, and market averages ended up with a record decline.
However, on Friday, the cash infusion seemed to suddenly take hold as the Dow Jones Industrials soared roughly 1,100 points to the upside only minutes after the 9:30 a.m. ET opening bell.
Stocks have gyrated wildly since then, with the Dow dropping as low as +500 on the upside, but then soaring back above the 1,000-point mark.
It’s too early to say whether today’s cash infusion / National Emergency-inspired relief rally will have some persistence next week. Veteran investors still tend to think that Friday’s big rally is only an impressive dead cat bounce at the beginning of a bear market, and not the real deal. But historically, whenever markets decide to recover, the move back up is slow and often painful. The next bull move of whatever duration that US markets experience won’t have the greased lightning quality of its recent frightening decline.
Stocks did, however, get a useful second boost this afternoon after word of the President’s upcoming news conference began appearing in a variety of media. At last, more leaders, journalists and leaders both here and abroad seem more interested in giving the President the support he needs in this emergency situation rather than using it to score political points against him.
Will Washington’s Swamp Dwellers finally join hands to attack a genuinely national problem?
Wall Street seemed quickly to assimilate the change of tone in Washington with regard to this upcoming National Emergency declaration. Stocks responded strongly by taking another bullish run up and above the 1,000-point market on the Dow. As always, however, no one really has any idea where the market will close at 4 p.m. ET. Recent trading history has taught most prognosticators that it’s a bad idea to predict any final outcome when it comes to the averages.
We’ll have a final wrap-up of today’s Presidential presser and the concluding market action sometime after that closing bell.
– Headline image: A screen shot of the interactive, constantly updated World Coronavirus Map created for public access by the Johns Hopkins University Coronavirus Resource Center and the University’s Center for Systems Science and Engineering (CSSE). The detailed map and accompanying charts and graphics illustrate the location and severity of COVID-19 novel coronavirus outbreaks around the world, including the number of those affected in each country.
Map can be moved around, enlarged or reduced to create different levels of detail. To access this map, click this link.