FAST FIVE: "Unlike Anything We Have Seen In History": The Coronacrisis Will Wipe Out Over 4 Years Of GDP Growth
We now believe that 2Q GDP growth will be down 40% qoq saar vs.
our prior forecast of -30% qoq saar.
We are revising up 3Q GDP growth to +7% qoq saar vs.
Indeed, in an economy under lockdown, demand for essentials has exploded higher resulting in a strong bid on prices.
In terms of stimulus, BofA expects the Fed to continue with credit facilities and another fiscal stimulus package albeit smaller and focused on state and local governments.