On this day, two years ago, I was wrong when I said (for the first time ever) that Trump was right about something. The issue was Covid, and it was very early days. March 19, 2020 was the first Covid death in Maryland.
And guess what? I was wrong some more… especially about stocks. In my defense, so were Johns Hopkins economists.
For the record, stocks fell 37 percent between Feb. 12 and March 23, and about 20 million folks lost their jobs.
So why didn't it all go to shit? Basically because Congress and the Fed stepped in. Interest rates were cut to near zero and a $2.3 trillion fiscal rescue package was launched bailing out markets, businesses, households, and local governments. By November 2020, US markets had finally returned to January levels (over 29,000). Today, the market is at 34,754.
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