Goldman Sachs sees zero US economic growth as the coronavirus spreads

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Goldman Sachs sees zero US economic growth as the coronavirus spreads
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Goldman Sachs sees no economic growth for the U.S. as the coronavirus outbreak roils markets and business activity.

Traders work on the floor of the New York Stock Exchange during the opening bell on March 10, 2020 in New York.Goldman Sachs on Sunday downgraded its outlook for the economy in the first two quarters of 2020 as the coronavirus zaps all growth from the U.S.

"We expect US economic activity to contract sharply in the remainder of March and throughout April as virus fears lead consumers and businesses to continue to cut back on spending such as travel, entertainment, and restaurant meals," Hatzius said in a note to clients Sunday. "Even with monetary and fiscal policy turning sharply further toward stimulus … these shutdowns and rising public anxiety about the virus are likely to lead to a sharp deterioration in economic activity in the rest of March and throughout April," Hatzius said.

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