US must be laser-focused on preventing 2008 repeat: El-Erian
Markets can ‘bounce back quickly’ from coronavirus shock: El-Erian
Allianz chief economic adviser Mohamed El-Erian and Strategas CEO Jason Trennert discuss how the U.S. is combatting the economic impact of the coronavirus.
The White House is seeking an $850 billion stimulus package to help the areas of the U.S. economy hit hardest by the new coronavirus outbreak.
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The stimulus, which is still being ironed out, could be shaped through a combination of tax cuts and spending.
It would “help protect the most vulnerable segments of society and the most strategically important sectors,” Mohamed El-Erian, chief economic adviser at Allianz Global Investors, told FOX Business’ Maria Bartiromo. “And that's really important. We have to minimize the damage.”
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While the package will “help people navigate financially through this massive shock,” it will not “reactivate economic activity,” which won’t happen until there are health advances to combat the virus.
The COVID-19 outbreak has infected 185,067 people worldwide and killed 7,330, according to the latest figures from Johns Hopkins University & Medicine. The virus has paralyzed the global economy as supply chains have been shut down, air travel has been drastically reduced and restaurants and bars have been shuttered.
“This is something that would actually provide liquidity and, for lack of a better term, a bridge loan to the industries that are really at ground zero of this virus,” Jason Trennert, CEO of Strategas Securities, told Bartiromo.