The coronavirus is a bigger risk to the U.S. economy than a prolonged dispute over the presidential election result, according to a Reuters poll that showed the near-term economic recovery was slowing more than previously thought.
With around 11 million COVID-19 cases, the United States is by far the hardest-hit country and while a potential vaccine provides some optimism the outlook remains uncertain, the Nov. 10-16 poll of over 100 economists found.
The recent progress toward COVID-19 vaccines pushed Wall Street shares to a record closing high last week, despite a surge in new cases and jitters over President Donald Trump’s refusal to concede the U.S. election to Joe Biden.
Over 90% of economists, or 53 of 57, said elevated coronavirus cases were the bigger risk to the economy for the remainder of this year rather than further uncertainty surrounding when the election results will be made official.
Renewed lockdowns in Europe are a reminder that the U.S. also faces significant downside risks this winter.