Zandi Mongers Panic: Warns Deeper Recession Over Potential Spread of Swine Flu
Some financial indicators took somewhat of a shock over swine flu fears on the first day after the swine flu fears were realized.
â€śBut on Wall Street today and overseas, travel-related stocks took a beating over flu fears,â€ť NBC correspondent Tom Costello said on the April 27 broadcast of "NBC Nightly News," reporting that U.S. airline stocks were hit hard, down a little over 8 percent on the news.
â€śIf this lasts two months and spreads across the globe, then the global downturn will intensify,â€ť Zandi said. â€śMillions of more jobs will be lost, unemployment will rise, and this recession will last well into 2010.â€ť
We donâ€™t know whether Zandi offered more optimistic predictions for the scenario in which the swine flu pandemic turns out to be nothing more than a scare. If so, they were left on the cutting room floor.
However some think this flu scare is overhyped. Fox News Channel commentator Brit Hume pointed out deaths from flu illness of more common strains happen on a much larger scale on an annual basis.
â€śConsider this â€“ tens of thousands of people, Trace, die every year from ordinary seasonal flu,â€ť Hume said on FNCâ€™s â€śThe Live Desk with Trace Gallagherâ€ť April 27. â€śHere we have a case of a few dozen â€“ only a couple of which require hospitalization and no deaths. What this is, is much ado about â€“ Iâ€™m afraid to say this â€“ not very much.â€ť
He explained this story has fed on itself, making it bigger than it should be â€“ all due to a slow news cycle.
â€śI realize itâ€™s been a slow weekend in terms of news,â€ť Hume said. â€śThe president went out and played golf on Sunday. The White House reporters donâ€™t have much to work with today, so theyâ€™re trying to get a piece of this swine flu story, which you know, all the cable news channels are agog about, bug-eyed about. But so far, it doesnâ€™t amount to much in the