guest from valley national bank as well as the guy on friday talking about extending loans so that small businesses don't go out of business under the stresses that they have in terms of the cash. >> yeah. everyone go back listen to valley national. fascinating candid discussion with the ceo it's good to keep them going if they can now we'll turn it over to "closing bell. thank you for watching >> and the final hour is here. kelly and ty, thank you very much for that one hour until the close, i'm wilfred frost we are staying focused on bringing you the most important market moving news and sara eisen will join after 4:00 the stocks are in free fall. we are awaiting a briefing as well from the white house in the next 30 minutes time in the meantime what is

driving the action first and foremost of course the heightened fear about the coronavirus. more countries go into lockdown as the steady spread of cases continues. the fed made a dramatic move cutting rates to zero and announcing new assets. and the economic slowdown with weak manufacturing data this morning from both china and the u.s. as we just said we are down about 9% on the dow. the low of the session was down 12% or 2,800 points. the dow is down about 31% from the recent market highs as we stand with just under -- we have every angled covered for you. let's drill down on the sell-off mike santelli at the market dashboard and let's begin with bob on the floor of the exchange. >> trading halt this morning, 15 minutes right after the market opened

our third trading halt in the last six sessions. look at the s&p 500. our low is just a tad above 2,400. so well off of that number everybody down here waiting to see what if anything the president might have to say. take a look at the dow movers, the bifurcation, notable again today. look at the big names like boeing, jpmorgan chase, all cyclical names are down. coke or procter & gamble, those names are holding up much better overall. elsewhere, certain market gainers, largely consumer names as well. rite said -- rite aid is up, color exgot an upgrade

buy recommendation, some are making some bold calls color exgot an upgrade but caterpillar got an upgrade hard to believe but some people are really trying to buy into the markets and there you see caterpillar holding up much better than the industrial brethren. >> thank you so much i should mention the white house briefing at 3:15 we'll bring you that live when it begins. over to mike santelli looking at the various key market levels. >> well, will, thanks very much. with the huge moves it is hard to kind of remember where we stand in the short and long term bob mentioned the s&p holding above the morning lows it's refused to go below thursday's lows. we basically have gone back into the vicinity of the december 2018 low but we only spent one day below that this was headed all up and i

want to point out if you go back to where we first got around the levels in the mid 2450s -- mid 2400s you're talking about early 2017 typical bear market associated with the recession throughout time has gotten rid of three years worth of bull markets so you know we're not too far off of that. i want to look at sub segments of the market. if you thought that in february that the problem with the market was too much market value is captured by the big nasdaq stocks they were overvalued, everything else looked good. obviously it's been basically everything down, except small cap stocks down. the dow down so you have not necessarily paid during this downturn, what didn't participate in the upside, no, it's gotten hit worse. we'll see if today the intensity how it compares to last

thursday we're looking for some signs that we're near some peak panic. >> interesting to see that the russell is the worst and again the worst today both down about 10%. if you can bring up the intraday chart again, have we seen any evidence, mike, throughout the incredibly volatile day of buying the dips at all >> a little bit. you know, we basically see the low is made pretty much right near the open. we had that trading halt after the halt it was a lot of drift and there has been some signs that the market was sort of gravitating back toward 2500 level. again, i have been saying for three weeks there's a real hazard in trying to extrapolate the intraday activity to the next day by the way, most of the violent action has been happening in the futures, massive gaps on the open it hasn't been as much as the intraday swings at least not principally on the way down. >> thanks so much for that now the fed took extraordinary measures last night cutting rates by 100 basis points to zero and launching $700 billion

quantitative easing program. steve liesman has more on the historic move. steve? >> yeah, the day after that historic move that included to bringing them down to 0 to 25 basis points and launching $700 billion of purchases the reviews are not good i'm hearing that some markets maybe even most markets, u.s. funded markets are still not functioning smoothly to the extent that the fed had to come in in the afternoon and do a second $500 billion overnight repo which is to say that the fed put on offer $1 trillion worth of repo today has not done an afternoon one as far as i can tell. just did a morning one and $129 billion was taken down. there had been -- the fed has been doing the first purchases of the $700 billion. it did $40 billion today and they were very large submissions

for these offers by the fed for the treasuries and then the market is simply looking for the fed to do more guys, one thing that's changed in change -- and changed is the market outlook there was a lot of belief in the v-shaped recovery, but not so much now there's now a 67% probability in the next 12 months of a recession. the highest we have had in the survey up from 41% and then very quickly if you look it a quarter by quarter, looking at a 1.1% first second and a negative second quarter and then a flat third quarter, and then a rebound in the fourth quarter. you know, guys, this was very different even i want to say a week or two ago. when it was thought maybe you had some decline in the second quarter. but a quick bounce back in the third. that's now been pushed back into the distance, part of what's troubling stocks and what's troubling fixed income markets >> steve, i'm afraid to say it's

just guys singular, not plural because of social distancing i spoke to one of the cfos at the nation's top four biggest banks about that freezeup or apparent freezeup of the repo market and they said it opened pretty badly but the fed got it under control by bringing forward that extra tranche of half a billion dollars on the retail side and they're focused on the treasuries and that's struggling to find any clear pricing. and it may then therefore mean that the fed has to move to start to buy commercial paper as well steve, as i understand that, that would require treasury approval, but not congressional approval either way my question to you, steve, a what point do we get to the market looking at this to say the fed is over the course of two weeks really deployed almost all the tools we thought it had it at the disposal and yet more problems start to arise

at each level. >> yeah. there's a lot for the fed to do here there's a lot more debt than there were back in the '08 crisis dealer balance sheets as you know are not triple the size they may be smaller in terms of the dealers. i expect wilf in the next day maximum two the treasury and the fed to come in with the commercial paper program and maybe some additional facilities to take collateral off of the balance sheet of the dealers out there. i don't think the fed is done. i think actually the only reason -- i don't have this any inside information on this just to be clear. i'm thinking of what i know about the fed. the only reason they didn't do the additional problems was because of the capacity they had to do -- to do all of these things what they did on sunday, wilf, what they did over several weeks or months. this was a major series of programs on sunday

i think the next couple days you'll get more from the fed here. >> steve liesman thank you so much for that. now last night, nine of the nation's biggest banks and perhaps counting took the unprecedented step to suspend buy backs together for at least q1 and q2. the original announcement came somewhat surprising by the forum and the main reason is that the banks want to make clear they aim to be part of the solution, not the problem. continuing buy backs risk painting the wrong image therefore. they all maintain they did not need to take this action that they have plenty of liquidity and the fed's actions have made that more certain. the discount window in particular this did not stem from the white house meeting with bank ceos but last the last 48 hours as it became clear that the fed was going to act in a large way last night. this was the bank's show of good faith if you will to the fed rather than the fed necessarily demanding it of the banks.

now, bearish bank investors have said why the collective approach and they asked whether there was a weak member of the herd that needed to be protected but the messaging from the banks suggests the opposite. the bank sank sharply today. if maintained for all of 2020, this move would remove $80 billion worth of buying from the market the collective market cap in question was $960 billion clearly well below that now based on today's moves that number was before the open it was down 13.5%. wells fargo which is down about 347 -- 47% from the weak that the ceo bought $5 million worth of stock today mike is with us on the banks and mike, the other factor that's hurting the stocks today is a

move in yields albeit the yields are somewhere -- somewhere off the lows, where the kbw banks index was below the recent lows, down about 47% from its peak in january. >> sure. i mean, longer term yields the fed going back to zero is obviously a head wind and presumablying to stay there for a while. plus, the conversation has turned toward what is the erosion of credit quality. you know, across the economy and the loan books though it's nothing critical and the $80 billion that's not going to be spenton buy backs is going to stay as a partial -- as a cushion on the bank balance sheet so that's a net balance sheet. a few of the things removed that people have been pining for, the buy backs and the credit situation which for years we didn't have to worry about it's not acute but definitely not moving in the right

direction. so the question being the stock price is already accounted for the difficulties and one can make the argument at this point. >> mike, the other thing i'd point out, yes, we're moving the buy backs and removes a potential buyer for the stocks but wells fargo 7% yield all of them above 3% or above 4% that's a support of sorts. the only other thing i point to, mike, broadening out a little bit. some sectors here in the u.s. like energy, like banks are well below levels of the last couple of years s&p 500 though of course still isn't. it is down sharply 27% or so from the recent highs. just want to mention some of the european markets because they're down a lot more from the recent highs. ftse 100 35% down europe down 34% from the recent highs and again that just highlights the sort of potential to full further here in the u.s.

if you're comparing to the situation over there. >> well, especially if the weakness really comes for the big growth stocks and the more defensive areas of the market which tend to be a slightly larger portion of our index here the reason we can withstand the declines in banks and in energy stocks and some other cyclicals is that you have the incredibly large growth stocks that have more or less held things up for a while. so yeah, that's the two sides of that coin up either been more resilient or more room left to fall. >> thanks so much for that we're down 9.5% on the dow 45 minutes left of this crazy session. tonight, by the way, don't miss a cnbc special report, "markets in turmoil." 7:00 p.m. eastern time breaking news out of san francisco. >> hey, will, san francisco mayor tweeted effective at midnight san francisco will require people to stay home. except for essential needs

she says that necessary government functions and essential stores will remain open and this is called a shelter in place directive and according to other local reports surrounding counties making up the bay area will be placed on the lockdown until april 7th. this falls short of a full lockdown it's unclear as of now how this would be enforced. we have calls out to the san francisco mayor's office and surrounding counties wilf, there's a full briefing at 1:00 p.m. local. back to you. >> dee, thanks so much for that. let's turn to washington now and the latest discussions from lawmakers to battle the economic fallout. eamon javers has more for us. >> yeah, we're waiting for this white house briefing which is scheduled to start at 3:15 p.m so meanwhile, chuck schumer, the democratic leader in the senate has a new proposal for

$750 billion spending bill that would help whole range of american institutions prepare for and deal with the coronavirus crisis looking at the list it gives you a sense of how dramatic the impact of this is going to be. they're taking about helping hospitals, helping the unemployed loan payment forbearance for all loans. and the response capabilities, to ensure senior citizen food and medicine delivery, a whole range of concerns that congress has to deal with in the coming days and weeks mean while, larry kudlow was out in the white house driveway earlier today and he was talking about what assistance the airline sector might need. here's what he said. i guess we don't have that sound bite, but larry kudlow said earlier today that the airlines may need some cash, may need some liquidity

he said the white house has been in consultation with them. we'll see where that effort goes as well but you can imagine wilfred that the airlines are sort of at the tip of the sphere in terms of impact but it will hit industry group after industry group. >> certainly, eamon. i know the investors would love to see some debt support for the companies. but a long way to get to that get that congressional approval. you saw a live picture of the white house briefing room and we're expecting that white house briefing from the coronavirus task force to start any minute we'll bring it to you live no doubt some market moving information in that. the markets down 9.2% on the dow. 8.5% on the s&p 500 with 43 minutes left in the session. joining me by fine, kathleen sebelius, she was hhs secretary during the h1n1 pandemic in

2009-2010. thank you for joining us this afternoon. can i start by asking you what you really want to hear today from this white house briefing that we haven't heard yet? there have been a lot of significant announcements in the last three days. do you feel like the white house is now on top of things? >> well, i think they're certainly moving in the right direction, the declaration of a national emergency does open some flexibility for particularly governors and mayors and they're taking full advantage of that we have to get some money flowing and the senate needs to act right away on the house passed bill as step one. and hopefully get that money flowing because lots of people are now closing their restaurants, closing their shops. losing money as we speak and the faster we can get some relief to particularly small business owners, employees who work on the hourly wage.

so they can pay for extra child care, so they can buy groceries, so they can pay their rent those are really urgent needs. and i haven't heard the white house talk about that a lot. and the third thing i think it's important that testing seems like it may be ramping up. but i think that that -- that they have to be honest with the american public about even as the tests ramp up, who are the likely priorities? who going to get -- i assume we we'll look at those with the most serious diseases as the first priority and we can't have the health care workers carrying the virus and we need to establish some patterns we don't know that kids are carriers they seem to be not getting the disease but are they carrying the disease? what about young adults, how

wide is the group of carriers who are asymptomatic once we know that, then you can begin to make decisions about what should stay in lockdown, who should be, you know, distancing can you reopen some schools or areas for kids we don't know any of that until we get the testing much more broadly distributed. >> so let's focus more on that side of things, the health and medical side of things this morning, on "squawk box" dr. scott gottlieb felt -- he said he felt that things should peak on the medical side by april or may do you concur? >> well, i hope he's right i don't think we really know how broad this virus is in the united states. i mean, we know that every state i think would be -- has cases but how many cases are out there wandering around without specific identification, we really don't know.

until i guess we know that, hopefully scott is correct whether it peaks and dies down like a flu cycle and then comes back in the fall is also something we can watch the southern hemisphere and figure out what's going on a little bit more but that's another wave that i think we have to get ready for because we're not likely to have a vaccine by the time the weather gets cooler again. >> do you have any sympathy -- one second, secretary sebelius let's go to the white house task force, it's starting now >> so i'm glad to see that you're practicing social distancing that looks very nice it's very good i want to thank everybody for being here today this morning i spoke with the leaders of the g7, g7 nations. and they really had a good meeting. i think it was a very, very productive meeting i also spoke with our nation's

governors this afternoon we're announcing new guidelines for every american to follow over next 15 days as we combat the virus each and every one of us has a critical role to play in stopping the spread and transmission of the virus. we did this today. this was done by a lot of very talented people. some of whom are standing with me and that's available and dr. burks will be speaking about that in just a few minutes. it's important for the young and healthy people to understand that while they may experience milder symptoms they can easily spread this virus and they will spread it indeed, putting countless others in harm's way we especially worry about the senior citizens. the white house task force meets every day and continually updates the guidelines on the fast evolving situation this has become all over the world. it's all over the world.

it's incredible what's happening in such a short period of time on the guidelines, the new modeling conducted by dr. burks and our consultation with governors we have made the decision to further toughen the guidelines ant blunt the infection now. we'd much rather be ahead of the curve than behind it and that's where we are therefore, my administration is recommending that all americans including the young and healthy work to engage in schooling from home when possible avoid gathering in groups of more than ten people avoid discretionary travel and avoid eating and drinking at bars, restaurants and public food courts. if everyone makes this change or these critical changes and sacrifices now will rally together as one nation and we will defeat the virus and we're going to have a big celebration all together we have several weeks of focused

action we can turn the corner quickly. i'm pleased to report today that a vaccine candidate has begun the phase one clinical trial this is one of the fastest vaccine development launches in history, not even close. we're racing to develop antiviral treatments and we have had promising results. promising to reduce the severity and the duration of the symptoms and i have to say that our government is prepared to do whatever it takes, whatever it takes we're doing. we're doing it in every way and with that i'd like to just introduce dr. burks who is going to discuss some of the things that we strongly recommend thank you. >> thank you, mr. president. i think you know over the last months we have taken very bold action to stop the virus from coming to our shores and because of that, we gained time to really get together to understand the progress across

the globe of what has worked, what hasn't worked we now need to appeal to every single american so that they can have their role in stopping the spread of this virus we have talked about things before about washing your hands but we really want to focus on if you're sick, no matter who you are, please stay home. if someone in your household is diagnosedwith this virus, the entire household should quarantine in the house to prevent spread of the virus to others the reason we're taking these strong and bold steps is because we know there is virus spread before you develop symptoms and then we know that there's a large group, we don't know the precise percent yet that actually is asymptomatic or has such mild cases that they continue to spread the virus if your children are sick, please keep them home.

now to our older population or those with pre-existing medical conditions, everyone in the household needs to focus on protecting them. everyone in the household. and i want to speak to our largest generation now, our millennials. they have the mom of two wonderful millennial young women who are bright and hard working and i'll tell what i told to them they are the core group that will stop this virus they are the group that communicates successfully, independent of picking up a phone. they intuitively know how to contact each other without being in large social gatherings we are asking all of them to hold their gatherings to under ten people not just in bars and restaurants, but in homes. we really want people to be separated at this time to be able to address this virus

comprehensively that we cannot see, for which we don't have a vaccine or a therapeutic the only thing we have right now is the amazing ingenuity and compassion of the american people we're appealing to all americans to take these steps. to protect each other and to ensure that the virus doesn't spread these guidelines are very specific they're very detailed. they will only work if every america takes this together to heart and responds as one nation and one people to stop the spread of this virus thank you. >> thank you very much, dr. burks. so just to connect with what i mentioned to you in previous discussions in this room, and dr. burks said it very well. that in order to be able to contain and curtail this

epidemic, we have a two pillar approach one i believe is very effective in preventing the substantial seating, namely the travel restrictions we have discussed in this room the other equally if not more important is when you have infection in your own country which we do, and you know i can read you the numbers but they're really essentially what we have seen yesterday incremental increases both globally as well as in the united states with the curve doing that so therefore, the kinds of things that we do are containment and mitigation this -- what we're mentioning now, the guidelines when you look at them carefully, i believe if the people in the united states take them seriously because they were based on some rather serious consideration back and forth, some may look at them and say, they're going to be really inconvenient for people. some will look and say, well, maybe we have gone a little bit too far. they were well thought out and the thing that i want to

re-emphasize and i'll say it over and over again. when you're dealing with an emerging infectious diseases outbreak, you are always behind where you think you if you think that today reflects where you really are that's not word speak. that means if you think you're here, you're really here because you're only getting the results. therefore, it will always seem that the best way to address it would be to be doing something that looks like it might be an overreaction it isn't an overreaction it's a reaction that we feel is commensurate which is actually going on in reality. so take a look at the guidelines, read them carefully and we hope that the people of the united states will take them very seriously because they will fail if people don't adhere to them we have to have as a whole country cooperate and

collaborate to make sure these get done thank you. >> go ahead. >> mr. president -- >> a lot of people are concerned about how long all of this might last do you have any kind of estimate that if americans really were to band together and do what the white house is suggesting how quickly you can turn this corner >> my favorite questions, anthony, how many times have i asked you this question, every day and i speak to deborah, i speak to a lot of them i get their opinion. so it seems to me that if we do a really good job we'll not only hold the death down to a level that is much lower than the other way had we not done a good job, but people are talking about july, august something like that. so it could be in that period of time where it -- i say it washes through. other people don't like that term but where it washes it.

>> so is this the new normal until the height of the summer >> we'll see what happens, but they think august, july. but i have asked that question, many, many times. >> that being said, mr. president, americans today and looking forward are living with so much anxiety and so much fear facing uncertainty right now i'm curious how are you talking to your own family about this, how are you talking to your youngest son people are really scared >> yeah, i think they're very scared i think they see we're doing a very professional job. we have been working with the governors and the frankly the mayors, the local government at every level. we have fema totally involved. fema has been -- usually we see fema for the hurricanes and the tornadoes and now we have fema involved in this they have been doing a fantastic job locally. working with people they know because they work like as an example in california. in the state of washington they work with them a lot on other things and they're very

familiar so they're working on it what you can do and all you can do is professional totally competent. we have the best people in the world. we really have the greatest experts in the world and some day soon hopefully it will end and we'll be back to where it was. but this came up we -- it came up so suddenly we were all surprised, we heard about it we heard reports from china that something was happening and when made a good decision we closed our borders to china very quickly, very rapidly though that was a -- otherwise we'd be in -- as tony has said numerous times we'd be in a very bad position, much worse than right now. you look at other countries, italy is having a very hard time but i think that -- i think that what we do -- i have spoken actually with my son he says how bad is this? it's bad it's bad but we're going to be hopefully a best case, not a worst case. that's what we're working for. yes?

>> to clear up some conclusion one is about your own tests, the other is containment is the administration considering more aggressive containment? like a curfew? >> yeah, we have that very much and we have been pretty aggressive we were early with europe and we were very, very early with china and other places and fortunately we were. as far as containment here, we are. we're coming out with strong suggestions, you look at people are not doing certain things for instance, i wouldn't say the restaurant business and bars and grills are booming we look forward to the day that we can get back to normal. >> but are you considering instituting a nationwide lockdown, a nationwide quarantine there are some still some questions -- >> at this point, not

nationwide but -- you know, some places in our nation that are not very affected at all. which may look at certain areas, certain hot spots we'll be looking at that. at this moment, no we're not. >> you said you had your coronavirus test friday night, though the doctor's office said that no test was indicated when exactly was your test administered >> it was late friday night and i had no symptoms whatsoever so the doctor said you have no symptoms so we don't see any reason but on friday, everybody was going crazy, did you do the test so very late on friday night, i did the test and he may have put -- or the doctor may have put -- i don't know what time the letter went out, but it was put out by somebody else but the results came back the following day and we tested negative. >> but the question is how could

the white house doctor's office say the test wasn't indicated, implying you hadn't had one? >> i went by what the doctors said, more than one. you don't have any of the symptoms they checked what you're supposed to check but i did it -- i did a test late on friday night and it came bang -- back 24 hours later. >> you had a teleconference with the nation's governors today in that teleconference, you said if they need respirators or masks get them on their own. what did you mean be - >> in other words, go through the supply chain they may have the governors buy a lot of things not necessarily through the federal government if they're able to get ventilators, respirators if they're able to get certain things without having to go through the longer process of federal government, we have stockpiles now where we're ordering tremendous numbers of

ventilators, respirators, masks and they're ordered and they're coming i think we have quite a few, we have a lot if they can get them directly it's always faster if they can get them directly if they need them i have given them authorization to order directly. >> mr. president, one of the big weaknesses in our health care system is surge capacity i wanted to ask what precaution, what plan is being done to get china -- was able to build hospitals in a matter of days. are you prepared to use the corps of engineers or fema to build up to the surge capacity >> we hope we don't get there and that's why we're looking at this but we're looking at areas and not only looking but we're expanding certain areas. we're taking over buildings that aren't used. we're doing a lot in that

regard we hope we don't have to get there but we're doing a lot in that regard. >> mr. president, could you clarify something. these guidelines, stay home if you're sick. the vice president said no one should worry about losing a paycheck but the house bill exempts the employees of 500 or more from the paid sick leave. why is it a good deal to only provide the small businesses - >> well, we're looking at that in fairness we want it for that. we're looking at that through the senate because as you know the senate is now digesting that bill so we may be - >> two questions for you one going off of what he was asking how about ventilators and how icu beds do we have right now and do we have enough? >> i can get back with you on that number. we have ordered a lot but it may not be enough. hopefully we won't need them. >> you'll give us the exact --

>> we can give you a number. if it's important we'll give you a number. >> you said that this was under tremendous control do you want to revisit that statement if we're going to experience this until july or august five more months ahead of - >> what i'm talking about control, i'm saying we are doing a very good job within confines of what we're dealing with there's been a -- there's been a tremendous amount of -- the way they're working together working hand in hand i think they're doing really a great job and from that standpoint, that's what i was referring to yes. >> you're not saying it's under control, right >> i'm not referring to it, meaning the -- >> coronavirus. >> yeah. talking about the virus, no, that's not under control for any place in the world i think i read -- i think -- no, i didn't i was talking about what we're doing is under control. but i'm not talking about the virus. yes, please. >> the stock market took another hit today. is the u.s. economy headed into the recession? >> it may be we're not thinking in terms of recession but in terms of the

virus. i think there's a tremendous pent-up demand both in terms of the stock market, in terms of the economy. and once this goes away, once it goes through and we're done with it, i think you will see a tremendous surge. >> are you looking at any domestic travel restrictions i know that's on the table before >> we're not really. we hope we don't have to, steve. we think that -- hopefully we won't have to do that. but it's something that we talk about every day. we haven't made that decision. >> doctors and nurses in this country telling us across the board, they're terrified of this virus. of the fact that they could get it of the fact they may take it home to their families what can you say to assure health care providers that the federal government is doing something today to ensure they get personal protective equipment to protect them? >> i think the federal government is doing everything they can possibly do we kept people out, by keeping

certain countries out where the infection was very immense i noticed people are talking about south korea, they had tremendous problems at the beginning. great numbers of death i think that we have done a fantastic job from just about every standpoint with that being said you look no matter where you look, this is something that's an invisible enemy. and we are speaking all the time not only with the people, but also the professional people, the nurses, the doctors. they have been doing a fantastic job. we are also working very much on getting them the kind of equipment that they need they either have it or will be getting it but remember this we want the governors, we want the mayors, we want them locally from the local standpoint, we want them to work and we had a great talk with the governors today. i think it was a really great talk there's a tremendous coordination

there's a tremendous spirit that we have together with if governors and that's pretty much for the most part bipartisan yeah >> mr. president, you told john that you think this could wash through, you said july, august you just told steve when he asked you about a possibility of recession. you said it may be i'm curious if there is a recession when do you think that might hit? >> i don't -- number one, i don't determine recession. i just say this. we have an invisible enemy, we have a problem that a month ago nobody thought about nobody, you know, like read about it i read about many years ago 19 1918 i have seen all of the different problems similar to this that we have had this is a bad one. this is a bad one. this is bad in the sense that it's so contagious it's just so contagious. sort of record setting type contagion. and the good part is the young people are

they do very well. and healthy people do very well. very, very bad for older people, especially older people with problems my focus is really on getting rid of this problem. this virus problem once we do that everything else is going to fall into place. yes, please. >> mr. president -- a lot of rumors last night, a lot of rumors last night you'd put in a national curfew. >> yeah. i have been watching >> me too. your people were saying this is a foreign disinformation campaign are people messing with us on the internet >> i can't tell you or not i think the media has been fair on this. you have some foreign groups maybe playing games but it doesn't matter we haven't really determined to do that at all and hopefully, we won't have to.

it's a big step. it's a step we can take but we haven't decided to do it. >> mr. president, two things, one on airlines and one on jeff bezos. can you talk about what you'd like to do to help the airlines first of all and then second of all we heard that jeff bezos has been in contact with the white house daily. can you say what he's been asking for or proposing? >> i have heard that's true. i know some of my people -- as i understand it, have been dealing with them or with him. that's nice. we have had tremendous support from a lot of people that can help i believe he was one of them as far as the airlines are concerned the airlines we're going to back the airlines 100%. it's not their fault it's nobody's fault unless you go to the original source. but it's nobody's fault. and we're going to be in a position to help the airlines very much. we have told the airlines we'll help them. we'll be back stopping the airlines and helping them very much very important

>> what will do you -- >> $25 billion for the passenger carriers and $4 billion for cargo? >> we're looking at it very strongly we have to back the airlines, it's not their fault they were having a record season and this came from nowhere not their fault but we're backing the airline. >> the stocks continue to fall today. will the white house support negative rates >> we have to get through this crisis that's the best thing we can do. that's what i think about. once this virus is gone, i think you'll have a stock market like nobody's ever seen before. >> mr. president, people keep voting tomorrower? >> mr. president, the other day -- >> he'll be back in a second i think the question that i think maybe john asked about until july, the guidelines are a 15-day trial guidelining to be reconsidering. it's not they're in effect until

july, but the president is saying that the trajectory of the outbreak may go until them these are not solid in stone until july. >> yeah. that would be the outside number yeah. >> mr. president, you have been criticized - >> go ahead. >> as a follow-up, senate republicans, do you want senate republicans to change the package that passed the house last week? >> i think they'll make it even better look they're working very well with the house, working in unison they're working to -- only enhance it and make it better and make it fair for everybody and that's what we're looking to do so we way do back and forth with the house a little bit but both in a positive fashion. >> yes, mr. president, the new guide lines say avoid social gatherings and groups of more than ten people and the cdc's recommendations were for people to avoid gatherings of more than 50 people. what's evolved and your and your

team's thinking in the past 24 hours and what do you need to see in a stimulus bills? >> let me have the professionals answer that. >> thank you for that question so we have been working on models day and night around the globe to really predict because some countries are in the early stage like the united states we have been working with groups in the united kingdom. we had new conversation from the model, what had the biggest impact in the model is social distancing small groups and the most important thing if one person in the household became infected the whole household self-quarantine for 14 days because that stops 100% of the transmission outside of the household. as we talked about early on it's silent we had another silent epidemic,

hiv. i want to recognize the hiv epidemic was solved by the community, who stood up when no one was listening and got everyone's attention we are asking that same sense of community to come together and stand up against the virus if everybody in america does what we ask for over the next 15 days we'll see a dramatic difference and we won't have to worry about the ventilators or the icu beds because we won't have our elderly and the people at the greatest risk being hospitalized. >> dr. burks, can you comment on the -- >> go ahead. >> thank you, mr. president. very productive call today with governors. we talked about the new rollout, the testing that we described yesterday. and drive-thru and community based testing. i know how grateful the president is for the efforts that the governors are making and now with the admiral and the

united states public health service as well as fema. we made great progress today in coordinating those efforts but the other issue that was raised with the president today was personal protective equipment. the reason i mentioned testing is one of the recommendations we have for states that the remote testing sites make it a priority of two groups. of one would be people over the age of 65 that have symptoms we don't want them to go to the hospitals or emergency rooms we want them to go the remote site in a parking lot or isolated community location. but the other category is the health care workers. we want to make sure that the health care workers have the opportunity to be tested and using that new high through put test that the president arranged with our major commercial labs we'll be able to do that much

more expeditiously so i they're coming alongside people that are struggling with the coronavirus and people are concerned they may have been exposed. the other piece is we're grateful that the legislation passed by the house of representatives includes liability protection for n-91 masks produced by 3m and honeywell, tens of millions of masks are made every year for construction but they can be used just as readily to protect the health care workers. 3m and other companies are not able to sell those to hospitals, but the president negotiated with the democratic leadership with the house and the senate, we have added a provision to the bill that will literally add another 30 millions of masks to the marketplace. we're strengthening the supply chain and health care workers can be certain that the president and our entire team

are going to continue to put the health of america first and put first our health care workers across this country that are meeting the needs of our country. >> mr. vice president, how many test kits have been sent out and how many people can actually be tested >> i think the admiral can answer that. you might want to talk about the -- >> so thank you very much for that as we talked about yesterday, we're really entering a new phase of testing at first, we were at the initial phase where the cdc developed test was only available in public health laboratories and the cdc. it works very well for a few thousand tests per day after it gets running we're now moving into the phase that the big commercial laboratories with high through put screening have availability. so as we talked about last week, because of the historic efforts of the fda, the roche and a

thermo fisher test were produced last week. 1.9 million of those tests will be sequentially into the ecosystem this week. from the information we have right now, 1 million tests are available. with everything ready to go, primarily at the reference labs called quest lab corps and a couple others. it doesn't matter if they're not in your neighborhood every day a kit gets shipped, the test result is electronically recorded so these are available to people nationwide we expect more and more than 1 million coming on board this week as the reagents come up and as they validate in their own places in the future we expect 2 million next week and 5 million the week thereafter. there are a whole growth of

what's called laboratory determined testing or laboratory derived testing where individual laboratories because of the deregulation of the fda can develop their own test and start using them if you're a clear certified lab you can do that. so the point is, testing is now entering sort of what we normally do in the health care system where big labs and high through put bases receive these through normal channels so that part is really under way. >> do you know how many americans have been tested do you have a number >> there is a number i don't have that number because i have been working on setting up this distribution system. so this is where we are. the state and public health laboratories and the cdc are published every day on their cdc website. they get feed from lab corps and quest and on a daily basis what is not being received right now and ambassador burks is fixing is that the home grown

tests in highly complex labs don't necessarily get reported into the system. however, as we move forward, particularly in the high -- in the commercial phase where we are right now, we expect about 80 to 85% of the tests to flow right into the cdc we know them that's not good enough for ambassador burks she wants a hundred and we'll work on that. >> so i think just to put it a different way. a lot of testing has been going on and i don't believe anybody has been doing what we're doing and will be doing. >> let me just say that we talked about the drive through testing yesterday. i wanted to be clear, this is another tool for health care systems to use it's not replacing testing that goes on in the doctor's office or in the hospital this is another tool that we're helping the states to have

this is a model on the fema based points of distribution system, optimized for testing. we expect this week we now have gear people being shipped right now today that will be in over 12 states with multiple sites. many of the states having multiple sites to start augmenting the local capacity and really providing the state and the local people what they need as another way for people to get tested. >> so this has never been done before and i will say that i think i can speak for the professionals, if you don't have the symptoms, don't get the test i think that's very important. not everybody should run out and get the test but we're able to handle tremendous numbers of people >> mr. president, earlier today governor cuomo of new york said that he believes that hospital

capacity soon will be overwhelmed and implored you to call on the army corps of engineers to build temporary facilities to house patients >> we're looking into it we have heard it from two places there are two places that have specifically new york being one and we are looking into it very strongly yeah steve, go ahead. >> how have you changed your old behavior to take account of the virus? are you washing your hands more? >> i have always warned my hands a lot. i wash my hands a lot. if anything more certainly not less >> -- taking the test? >> it's not something i want to do every day i can tell you that. you know it's a little bit of a -- it's a little bit of -- good doctors in the white house but it's test. it's a medical test. nothing pleasant about it. >> mr. president, you had said

in the tweet that governor cuomo should be doing more. >> well, i think he can do more. >> what specifically - >> i think he can do more. it's an area of the country that's very hot right now. i think new rochelle and the place i know very well, i grew up right near new rochelle i think it's a very -- no,i think it another an area that has to be tamped down even more, it's a hot area. i notice he made some statements just now that the relationship where the federal government has been good. the federal government has done everything they have wanted us to do. but we can -- i think it's very important that all of the governors get along very well with us and that we get along with the governors and i think that's happening >> mr. president -- the defense secretary and the assistant defense secretary have decided to separate and to protect the chain of command

is that something you and the vice president should be doing and is there any talk about -- >> we haven't thought about it, but i'll say this. it's -- we're very careful we are very careful with, you know, being together even the people behind me are -- she have been strongly tested i have been strongly tested. everybody should be. vigilant we have to be vigilant. >> mr. president, two simple questions. two simple questions for you. >> hold it. >> dr. burks said it's the millennials who are doing to lead us through this and now is the time to look out for the older people in our homes. older might be a state of mind not necessarily an age so for those millennials of us who have parents who are in their 50s, 60s, 70s, what is older? what should we tell them at this point? >> well, if i was dr. fauci, i

would tell you there's a physiological age and a numerical age. so older people with pre-existing conditions, what do we mean by that? you know, significant heart disease, significant kidney disease. it significant lung disease. any immunosuppression, any treatment for cancer, any of those pieces and any household -- now why do i think the millennials are the key? because they're the ones out and about. and they're the most likely to be in social gatherings and they're the most likely to be the least symptomatic. i think we have heard about the greatest generation and we're protecting the greatest generation and the children of the greatest generation. i think the millennials can help us tremendously by having -- plus they need to communicate with each other. public health people like myself don't always come out with compelling and exciting messages

that a 25-year-old to 35-year-old may find interesting and something they'll take to heart. but millennials can speak to one another about how important it is in this moment to protect all of the people -- now, you could be 40 and have a significant medical condition and be a substantial risk you could be 30 and having come through hodgkin disease or non-hodgkin lymphoma and be at a significant risk there are more millennials now than any other cohort and they can help us at this moment. >> mr. president, mr. president -- thank you very much thank you very much. you already talked mr. president the other day you said that you were not responsible for the testing shortfall. very simple question does the buck stop with you and on a scale of one to ten how would you rate your response to this crisis? >> i'd rate it a ten up. i think we have done a great job. and it started with the fact that we kept a very highly

infected country despite all of the -- even the professionals saying you know it's too early to do that, we were very, very early with respect to china. and we would have a whole different situation in this country if we didn't do that i would rate it -- i would rate ourselves and the professionals i think the professionals have done a fantastic job as far as the testing you heard the admiral. i think the testing that we have done, we really took over an obsolete system or put it maybe in a different way a system that wasn't meant to do anything like this we took it over. and we're doing something that's never been done in this country. and i think that we are doing very well. we took the system we worked with the system we had and we broke down the system purposely. we broke it down in order to do what we're doing now and within a short period of time and even now we're testing tremendous numbers of people and ultimately you're saying it will be what, it will be up to how many people we'd be able to test

>> we certainly expect with the high through put testing that that's no longer a barrier the barrier is actually doing the test on a person i'm sure as the president would inform you, in order to do the test a health care provider needs to dress in full personal protective equipment full personal protective equipment and there's a swab that's put in the back of the nose all the way to the back of the throat it's then put in media and it's light likely that a person sneezes or coughs. by all of the mobile platforms we're doing we're doing some technological things too that might be break throughs to make it much faster but we certainly expect that from thousands of people per day we will be at the tens of thousands of people per day this

week according those who are - >> the buck stops with you, mr. president? >> yeah, normally. this has never been before in our country. look at '09 or '11 nobody has done what we're doing. admiral i think we can say we're getting this ready for the future so that when we have a future problem and if and when and hopefully we don't have anything like this but if there is we'll be starting off from a much higher plateau. because we were at a very, very low base we had a system that was not meant for this it was a smaller system. it was meant for a much different purpose and for that purpose it was fine but not for this purpose and we broke down the system and we have something that's very special and is ready for future problems. i think we can say that very

strongly yeah go ahead, please. >> how close are you to shutting down america's northern border with canada? and could you also speak to the fact about the elections that are supposed to be taking place tomorrow is it your advice that the states postpone the elections? >> well, i'd leave that up to the states it's a big thing to postponing the election i think that goes to the heart of what we're all about. i think postponing an election is a very tough thing. they're know -- they're doing it very carefully they're spreading people out very -- at great distances as you can see. i think they'll do it very safely but i think postponing elections is not a very good thing. they have lots of room in a lot of the electoral places. i think that they will do it very well. but i think postponing is unnecessary. >> on the northern border, sir -- >> we think about it if we don't have to do it that will be good we have strong emergency powers when it comes to something like

this both on the southern and the northern borders and we are talking about different things but we'll see. right now we have not decided to do that. steve? >> dr. fauci, can he talk about the vaccine and whether the timetable -- is it possible to accelerate or still 12 to 18 months >> thank you for that question the vaccine candidate that was given the first injections for the first person took place today. you might recall when we first started i said it would be two to three months and if we did that, that would be the fastest we have ever gone from obtaining the sequence to being able to do a phase one trial. this is now 65 days, which i believe is the record. what it is is it's a trial of 45 normal individuals between the ages of 18 and 55. the trial is taking place in seattle. there will be two injections one at 0 to 8 first one, then 28

days 25 and 35 and 250 milligrams and then the individuals will be followed for one year. both for safety and whether it induces the kind of response we predict will be predicted. so it's happened, the first injection was today. >> sir, the markets just closed down 3,000 -- almost 13% any response to the market close? >> is there -- >> dr. fauci, is there guidance for someone who may have felt sick, but then you feel better your fever has gone away how long would you stay home after that point >> well, if you're positive for the infection, if you have coronavirus, it is less how you feel than whether or not you're still shedding virus so the general issue about letting people out of a facility who for example a hospital or whatever, who have been infected you need two negative cultures

24 hours apart. >> the market -- the market will take care of itself. the market will be very strong as soon as we get rid of the virus. yes? >> can you clarify about pregnant women because the uk said today the pregnancy was one of the underlying conditions. do we say that too >> there's very little data on pregnant women i said a week ago that the reports in from china from the chinese cdc of the nine women who were pregnant and they had coronavirus in the last trimester they delivered healthy children and they recovered. that's the total sample size and we'll get more data from countries. while countries are in the midst of this crisis like italy i try not to bother them frequently to

get us their data. we try to get it weekly from the countries that in the midst of the epidemic so their focus on the individuals of the country. >> can you comment on what devin nunes has been saying, encouraging people to go out to restaurants which goes directly against the advice says? >> i haven't heard that. i haven't heard that from devin or anybody else. >> should they stop saying that? >> i have to see what they said. >> encouraged people to go to restaurants if they felt okay. >> one way we don't have an order one way or the other but it's probably you don't. oklahoma doesn't have a tremendous problem you said the governor of oklahoma - >> and devin nunes. >> i haven't heard that. it's averse to what the professionals are saying.

>> and what you're saying. >> it's averse but i would take a look at it. >> i don't know who's best to answer this question school districts across the country are closing down yet for the most part day-care centers remain open and considering the that children can be asymptomatic carriers and go home to older individuals, any recommendations about day-care centers. >> i would prefer one of the - >> three's a good question in the original guidelines they were presented, it was schools not day cares. i think it's very important we should probably -- we should go back and discuss that in some detail about whether or not that's equivalent to school. a good question. >> but the question about the sort of underlying public health strategy, telling people to avoid restaurants and bars is a different thing than saying that bars and restaurants should shut down over the next 15 days

why was it not prudent to take that additional step off the original guidance? >> well the data has been coming out, i'm sure you're up to date on how long it lives on hard surfaces that has been our concern over the last two weeks. >> go ahead. i wanted to re -- there's an answer to this. >> yeah. go ahead, tony he was my mentor so i'm going to have to let him speak. >> the small print here it's really small print in states with evidence of community transmission, bars, restaurants, food courts, gyms and other indoor and outdoor venues where groups of people congregate should close. >> mr. president, are you telling governors in the states then to close all of their restaurants and bars >> we haven't said that yet. >> why not >> we're recommending things no, look we haven't gone to that

step yet it can happen. >> on the election you're saying -- about postponing, but if you have the ten plus maximum of guideline in a practical sense can you have rallies >> well, hopefully this will pass through and hopefully we'll is -- everybody will be going to restaurants and flying and being on cruise ships and all of the different things that we do. and it will very, very hopefully be in a very quick period of time but we're taking a tough stance we may enhance those decisions we'll find out as per the question that you were asking. some of those decisions may be -- how about one more. >> on the cyber attack on hhs is there any reason to believe they were trying to hack into the system and gather information from the system? and also any reason -- so were they trying to hack to get information and do you feel any reason it could have been iran,

russia, do you have any reason to believe it's a foreign actor? >> in the previous 24 hours we saw a great deal of enhanced activity with the hhs commuter system and website and fortunately we had no penetration into the networks, we had no limitation of the capacity for people to telework. we have taken very strong defensive actions. the source of this enhanced activity remains under investigation so i wouldn't want to speculate on the source of it but there was no data breach or no degradation in terms of our ability to serve our important mission here thank you. >> mr. vice president -- another stimulus package, can you speak to that? >> one thing mike just said it's very important to get out this is for the first -- much of what we're talking about is for the next 15 days go ahead. >> have you been tested? >> >> i have not been tested yet. i'm in regular consultation with the white house physician and he said i have not been exposed to

anyone for any period of time that had the coronavirus and that my wife and i have no symptoms but we're checking our temperature regularly every day and we'll continue to follow guidance which i make may be -- it may be a good place to land at the end of the day. that is as we expand testing rapidly around the country through the new public/private partnership that the president facilitated we want the test to be available for people who have symptoms people who have symptoms and are in vulnerable populations and are health care workers to make sure they can have the peace of mind they're doing their jobs and they're properly protected so our best counsel, the counsel of the experts if you have a question, to call your doctor, call your health care provider, ask whether or not you should be tested that's what my family is doing as well. let me emphasize one more point if i can the president asked the task

force to continuously review the data and the information that we have not only in this country, but from around the world. to give the best guidance to state leadership and local health care leadership and all of the american people about how to keep themselves and their family and community safe. the guidance for next 15 days is what our experts say is the best opportunity we have to lower the infection rate over the entire course of the coronavirus. just as the president did by suspending travel from china, just as he did with travel advisories and screening from italy and south korea, just as we have done with europe and at midnight tonight with the uk and ireland we'll take decisive steps to lower the spread of the coronavirus but we want every american to know and we would ask all of you in the media to

spread the word to the american people that this advice on behalf of the president of the united states to every american what you can do over the next 15 days to prevent the spread of the coronavirus and we're calling on every american to do your part. because together we'll get through this we'll find our way forward. >> mr. president - >> one more. steve, go ahead. >> what do you think - >> we had a g7. >> what was the upshot and are you still able to meet at camp david? >> it look like it. >> are you confident in their responses? >> i'm very confident. they're in a position that some of them are in a rough position, if you look at a couple of them and some are headed to ref territory. we had a good conference, teleconference, everybody was on the phone, every leader. almost 100% was devoted to the subject that we're talking about today.

and they are working very hard and, you know, they're very concerned obviously. but they're working very hard. but i would just say about all of it was devoted to what we - >> still holding it at camp david? >> we haven't discussed it, it's a good way off there was a great camaraderie and togetherness thank you all very much. thank you. thank you very much. president trump along with the vice president and some key members of his coronavirus task force taking questions from reporters outlining some new sweeping guidelines to help the united states combat an expected surge in coronavirus cases among the recommendations now over the next 15 days americans should not gather in groups of ten people or more schooling should be at home and discretionary travel and social

visits should be avoided welcome back, i'm sara eisen as the president was speaking the markets were closing, it was an ugly close. first point decline ever for the dow jones industrial average finishing lower almost 3,000 points a decline of 13% for the s&p 500 down 12% making it the worst day for stocks since 1987 the russell 2000 is down 13.3% every group got battered the real estate stocks are down 16%. all groups losing double digits percentage we'll be joined by billionaire investor howard marks. his take on the volatile market and where he's seeing opportunities for investors. joining us is the chief u.s.

investment and liz young, and first, mike to you didn't sound like the markets got any reassurance or confidence from the president. one headline said if we do this well, we could be looking at july or august i mean, that was a much more pessimistic taken that anything he had been speaking about before. >> yeah. i think it was downbeat. it was a little bit of an exhausted close. i don't know it necessarily was purely pinned to that idea that this is a long haul. we're not looking at just a short phase. where it could be a very quick comeback in business activity. i think also the stock market continues to react and look nervously at other parts of the capital markets. and the credit markets were not particularly calm today. they still had a ragged session. the liquidity is not there except at those areas directly

addressed by the fed's actions last night when you have above 80 the highest close ever, there's a lot of agitation a lot of stress in the system and i think the stock market just could and find its way above that we did close above 1%. >> and liz young, almost 30% that we saw in early february and the selling continues. what are you hearing from clients and what are you telling them as to where the anxiety is coming from around the economic picture? >> well, what i think is important to look at here, number one, the market didn't hear what it wanted to here. i don't think it wanted to hear this is going to last until july or august and now if it lasts until july or august we have a contraction in the second and the third quarter and that means recession. so that's not necessarily what's going to happen but i think kind of grappling with that as a real

possibility. and as mike stated, the liquidity that was pumped into the system did help the parts that it targeted but we're still worried about those vulnerabilities in credit. that's the piece that could send us further and further downward and put pressure on the market and then make that bleed into the real economy and that's not something that the economy is in a place to really withstand here, especially in a time when we have hit critical mass and people are out of the restaurants and bars and not spending so we're at a fragile place here i don't think the market will find a decisive move upward until we get some really good news. >> what do you think the market wants to hear in the president in in the briefings? they move when the president talks and i thought the change of tone was more notable he sounded more serious and somber and even didn't blame the media. didn't get too political, acknowledged the chance of

recession for the first time was that welcome or not? >> i think it's an acknowledgment this is more serious than we originally thought. now that the president is making that clear and understanding that we probably have to do more and there's much more work to be done before we can get out of the woods on this and we don't have all of the information about where the damage is. we don't know how much it's spread in the u.s. we don't know yet how much it's going to hit corporate earnings. what we do know it will hit corporate earnings and hit growth for sure in the second quarter. maybe bleed into the third quarter. and that's something that we have to really be concerned with so hearing a more somber note isn't what necessarily what everybody wanted to know but it's nice to know it can be more of a coordinated effort and that the president is taking it seriously and maybe that means we get a nice fiscal response to couple with the liquidity from fed over the weekend. >> ed, what's your advice for

the long term investor here? >> well, i think we -- if you're long term investor you need to reassess your portfolio. make sure your long term plan that you had before is still the plan that you want to have keep in mind the markets are volatile we're going to get probably -- you know, exit this water falled decline and then as in the next few months there's always a retest after water fall, about 75% of the time the market actually makes a lower low about two months later so there's going to be some more volatile periods ahead if you can work through that and have confidence that you have a good game plan, then you can probably sleep better at night. >> dan, liz and ed, thank you. as i mentioned the dow and the s&p 500 posting the worst percentage drop today since 1987 joining us by phone, howard marks, co-chairman and cofounder of oak tree capital.

how do you read the size and the speed of the moves we're now down 30% for the market in a matter of weeks. >> well, i mean, this is -- you might use the word panic but i think panic suggests irrationally and i don't think it's necessarily irrational it's an extreme reaction to the extreme event. compressed into a short period of time. although it's interesting to note, you know, i was just speaking with a colleague. you know, how much is the stock market down in march as of friday night it might surprise you to learn 8% so it's not really that much. it's just that we have had the biggest up days and the biggest

down days in history compressed into that period of course today is now the second biggest down day in history. >> what do you think is getting priced in here in terms of bad case scenarios >> well, i think that people are pricing in a bad scenario. of course i can't say worse than reality because nobody knows what the reality will be in terms of the disease or the effect on the economy or the ultimate effect on the stock market so, you know, i do think that here we are down 30 from the high and the high in my opinion was not a crazy high i think, you know, we have value here and i have expressed the view that spending some money hire is not irrational

i don't think there's an argument to be made to spend all your money i do think that you have -- you're starting to have decent value here now a really bad bust historically has probably been down let's say 50%, plus or minus. if we're down 30 we're 60% of the way there and you might spend some of your money here. i think that will be logical you know, there's no easy answers in this business there's no sure thing. there's no magic secret sauce and which is more important to you? to get some of the values that exist today or to have more dry powder ready to go in if it goes lower? you can't accomplish both goals simultaneously if you want to ensure you have

buying power and financial security if it goes lower, then you don't buy today. but, you know, there's some chance -- always some chance that these values are as good as they get now, you're sitting here today t market is down 11, 12% down 30 cumulative from the high it sounds irrational to say it's not going lower. but you know my only answer is who knows? >> so when you talk about pockets of value are there industries you're looking at specifically >> you know, i'm not prepared to talk about individual industries all -- the only good investments are at the company level and you have to know your company. you have to have some understanding for its long run earnings power you have to -- you have to look at how that earnings power is priced now but i certainly wouldn't -- i'm

not prepared to go into that level of detail. >> okay. >> you know, but - >> well, let's talk about energy because whether you're buying it or not you have to be paying attention to the moves right now and what that's going to do to the credit market and the u.s. economy. energy has a double whammy of a supply and a demand hurdle how do you think that will ripple across the country on its own? will we see bankruptcies >> well, if the oil -- if the price of oil stays where it is, then clearly i think you will see failures among smaller oil companies. up -- not the larger ones but the smaller ones but, you know, the one thing, the declining price of oil is one of the few things in this environment which is not a pure negative because it's a positive for lots of people and lots of companies

and lots of countries. it's a positive, you know, it will be easier for people to pay their heating bills. and it will be easier for companies that use oil feed stocks and for countries that are net importers. so, you know, most of the things that are going on in the economy today are net negatives. but i think that the price -- declining price of oil is pretty much a zero sum event. >> very quickly, do you have anything to tell us about the function of treasuries, for instance, there's worries about commercial paper and whether the fed has to get into the key short term lending market and how it's performing amid this brutal sell-off? >> i think the government has to step in and assume the lender of last resort. we had this phenomenon called the credit crunch when people

who need money can't get money many people -- you mentioned commercial paper many people finance day to day, week to week if the credit window closes, then they're in real jeopardy. so i imagine that the government will step in and make sure that there is a lender of last resort. >> howard marks, thank you for phoning in on a critical day. >> my pleasure. >> he said he's buying and sees value. we have some breaking news. >> if coronavirus has disrupted every corner of american life and now elections. ohio's governor dewine said that in person voting is canceled for tomorrow he is suggesting it be rescheduled for june 2nd and that absent mailing voting be able to take to place. this comes after two states

postponed their primaries and it challenges florida, arizona and illinoiss to face difficult choices of their own the four states put on a joint statement saying that there was no worry that the voting would go forward as planned because people are in and out of polling stations they don't linger. and they're relatively spaced out so they would be able to conform with the cdc guidelines but governor dewine side that's not the case that citizens of ohio shouldn't have to consider between their health or constitutional duties. we'll see if other states decide to make that decision to postpone primary voting for tomorrow big news for those in ohio and we'll see how this affects turnout and the results from the election >> kayla tausche, thank you. let's get more on the coronavirus pandemic, sue herera with some updates for us. >> thank you so much sara. the number of new cases reaching

179,000 worldwide today with more than 4,100 here in the u.s. for the first time since the outbreak began, cases outside of china outnumber those inside of china. san francisco ordering its residents to stay inside effective midnight tonight necessary government functions and essential stores will remain open in new york, new jersey and connecticut all gyms theaters and casinos will close at 8:00 p.m. tonight bars and restaurants will operate as takeout or delivery only and the first human trials for a covid-19 vaccine beginning today. biotech company moderna and national institutes of health working together the phase one testing is under way in seattle it will include 45 men and women. for live updates on the coronavirus outbreak, you can check out cnbc.com sara >> sue, thank you. let's get a closer look at the federal reserve's historic interest rate cuts

steve liesman with that. it doesn't do much to help the market today which ended up 13% lower for the dow. >> no, today i think is a milestone day where the market realized that this virus is going to dramatically slow this economy. and there isn't a whole lot the federal reserve can do about it, the day after it came out with the dramatic moves the best the fed can do is try to smooth market functioning i don't think anything it's doing to do is going to turn around the economy and reverse the effect this is having -- is going to have on the economy i want to read you the commentary we got. virus is a game changer. there is no macro policy offset since the way you stop the virus spreading is to take actions to slow the economy john donaldson wrote, the fed brought a huge water cannon with the liquidity moves. it is up to fiscal policy in the executive branch to finish the

job and put the fire entirely out. spent the day on the phone with people in the fixed income markets. some markets were still not functioning smoothly and you know the federal reserve came in with the second $500 billion overnight repo action. apparently that helped a bit according to reporting by our colleague wilfred frost but notice it's the second 500 they came in with $1 trillion of overnight repo as you heard mr. marks say earlier, people are looking for the fed to do more much more and that would include i think guaranteeing or somehow coming in and purchasing in the commercial paper market as well as other collateral that might be at risk but at the end of the day you the only provide palliative to the economy the chance of recession now for the fed survey, 67% with an outright decline predicted in the second quarter economic growth.

>> steve liesman, thank you. let's bring in cnbc contributor, to talk more about this the fed came out with such a massive bazooka cut rates to zero, what's left in the tool box? >> right so the fed essentially took everything that it had in the box from the financial crisis, consolidated everything into a sunday premeeting rollout. and put everything really on the table. qe is out there. emergency lending out there. and of course the fed funds rate has been smashed down to zero. so essentially, the fed is attempting to do everything it can, put it all together and hope that this could have some kind of movement well, of course we -- you know, we woke up tomorrow. markets opened we saw of course qe is not an infectious disease response so monetary policy is going to be limited in terms of what it can

do now that said, you do see with some of the moves that the fed made regarding in particular emergency lending an attempt here to try to give firms the ability -- banks the ability to be more generous in terms of forbearance. in terms of potential delinquencies and defaults it's up to the banks to see if they can push this out the borrowers so they get a bit of a breather here and are able to avoid some of the hard decisions that could come from having to lay off people then we know what happens. because if that happens then we do have a deeper, longer recession. so this is -- this is a tough moment there's more i think that the fed will do i think we are in a kind of qe to infinity kind of movement there's still a lot of support that the repo market fields and the fed is continuously going in there particularly when it sees

bizarre behavior on the treasury side >> so i mean, what we keep hearing this is not 2008 this is not a banking crisis, the banks are up many better capitalized, in better shape if you look at the action for the bank stocks they are getting pummelled. there seems to be an underlying concern here what kind of shape are the banks going to be in after this is over >> it doesn't matter what the source was, so the source of the financial crisis was perhaps different kinds of trading this isn't coming from trading and yet you see the kind of stresses that are going to land with the banks so essentially whether or not it's a financial crisis or not i think is really just semantics because of course there is a significant liquidity crunch of course the need for significant, significant forbraerns. >> is still laws the -- is

fiscal still laws the ticket >> yes, and it has to be significant. it has to be in the range of something that is almost like, you know, we have to do something to bring out meld medical personnel. give them support. we have to do a lot to actually step in to substitute for what is going to be significant missing consumer demand. demand for hospital -- for hospital beds. demand for services. demand for, you know, respirators. those kinds of pieces are really, really going to be necessary and it has to be the government that stands in and actually begins the purchase of those significant supplies so i think that is what americans are waiting for and of course we're going to have to do something to help people who are facing significant hardship because their hours have been cut or

they're starting to lose jobs. so we'll have to doing something more on the unemployment side. expand it to be more than just after you lose your job, but what can be done before you lose your job because of course people are having to step back from being able to work and bring in money and yet the bills continue. >> sarah bloom raskin, thank you. >> thank you. and tonight don't miss a cnbc special report "markets in turmoil. as always 7:00 p.m let's go back to bob pisani on the floor of the new york stock exchange another ugly close. >> yes differentiation in the market. third trading halt we have seen, it did slow the market down a little bit after the open. but not enough for us to drop to the lows take a look at the s&p 500 we effectivelymoved to the low of the day right after president trump started to talk about the coronavirus may be an issue until july or august

that seemed to take any sails out of the market moving up at all. if you look at the movers, boeing for example all of the cyclical names, boeing, jpmorgan, chevron, all underperformed the market down in mid teen levels or worse and if you look at the consumer names generally the consumer names outperformed procter & gamble for example, one point was even positive on the day. also president trump was talking about some other things that were out there rite aid said we're working with the white house task force to offer testing in our parking lot, they're doing well. kroger is doing well clorox had an upgrade. campbell's soup did well on the day. guys, 2351 is what people are looking at that was the old december 24, 2018 low. we are 35 points away. back to you. >> yeah. headed down to 20,000 on the

dow. so many negative headlines about the pandemic so we wanted to actually take you a moment and share some of the positive things that companies and individuals have been doing. a few examples kroger implemented an emergency paid leave policy whereby workers with coronavirus or under mandatory quarantine will get two week pay software company workday says it will pay those below a vice president level a bonus to help alleviate the pressure and uber said it's delivering 300,000 meals to first responders. and luxury brand will use the perfume and cosmetic sites to manufacture free hand sanitizer in france.

and jack moss will be donating 1 million masks to the u.s. and scores of masks and test kits to africa amazon said it's ramping up hiring a amid the shut downs as people turn to the online grocery shopping that's good news, deirdre. >> absolutely. it comes as many retailers are closing around the world so amazon is ramping up hiring 100,000 warehouse and delivery workers and raising the pay by $2 an hour through april. this is an investment of $350 million of course the consumers are you were thing to online deliveries and amazon which makes up about 20% is seeing a major increase in demand for everything from toilet paper to cleaning supplies to groceries through whole foods. i'm sure many of the audience have seen this and experienced this and they're working with the trump administration despites a tense relationship in the past

president trump was asked if he was in contact with amazon ceo jeff bezos and he said, yes, some of the people have been dealing with them. we know that amazon is part of a broader tech task force working with the white house. >> one question i get with the deliveries is it safe? can we make contact with them when they come to the door >> no, we have seen so many companies not just amazon, all the food delivery companies like doordash and uber eats have a no contact delivery they'll leave the package outside the door so there doesn't have to be any human transactions that's one way in which they're dealing with this. >> thank you. casinos crushed today as the restrictions tighten and more locations are forced to shutter their doors.

contessa brewer has the numbers. >> penn down 43% red rock resorts down as well. look at eldorado and cesars and they have a merger happening layoffs at mgm, wynn has closed down the las vegas property entirely after half a month of gaming closures and a slew of states have moved to suspend gaming operations analysts are tackling how much liquidity they have. penn has the least now with less than five months of liquidity according to those estimates by deutsche bank even the gaming rates. they're feeling the squeeze now over worries whether casinos can pay the rent vichy and lpi own a lot of the land under the penn casinos. and up the capex in asia, the

steady management and most of all the strong balance sheet, but it too sara took a hit today. >> thank you small businesses also feeling the impact from the coronavirus outbreak so far 11 states have announced restrictions on restaurants and bars limiting them to delivery or takeout only. the governors of new york, and connecticut announcing that gyms need to close by 8:00 p.m. tonight. joining us now on the phone for more is linda mcmahon, former administrator of thesmall business administration under president trump. thank you for phoning in just listening to the restrictions, how big of a -- how much damage do you think there's going to be to small business in america as a result of this crisis >> well, i think that, you know, that remains to be seen. however, i would like to say that whenever small businesses you know do need these kind of loans they should turn to sba. the small business administration because the sba is open for business

there are 68 district officers around the country when sba can step in and make the loans themselves to small businesses, you know, they can relieve them from payroll, from capital disbursements, et cetera, with these low interest long term loans. i urge small businesses to reach out to those sba offices or go to sba.gov for further direction. the current administrator is just working diligently with the governors of the states across the country. and i know one thing that's really helpful if the governors of the states would go go ahead and declare their state, you know, disasters. disaster areas and to go ahead and submit their applications to sba. because then the administrator will review those applications and approve them but if they come in piecemeal it

takes longer to do i would ask the governors to do that declaration. >> how troublesome is it for some of the businesses to guarantee worker pay which is another hot issue? obviously the new legislation mandates that those who are quarantined will receive two weeks pay. but that puts a lot of pressure on small businesses as well. >> it does, certainly the government and the small business administration is working hand in hand with small and medium sized businesses to try to get this legislation passed and you know, will be farther reaching to relieve these pressures on small businesses for this payment for sick leave and just for extended sick leave payment or emergency payment it is just critical that, you know, the government does continue to work on this legislation when the senate comes back i think the senate has said they want to see more

for small businesses so it's clearly helpful for small businesses that's a life line for them through the sba. which does have liquidity and is open for business for the small businesses >> i mean, is that going to prevent restaurants and gyms and yoga studios from bankrupt >> i think it can in the short term you never know how highly leveraged some of the small businesses are but it can certainly help, you know, with payroll. with helping with their -- you know, their account's payable. and other debts that they have from the loans from the sba. so that can really get them through a period of time and then i think with the tax abatements that the legislation is looking at this can be -- this can be helpful to many small businesses those that are highly leveraged it's a tough point right now but to the best of the and -- of the ability of sbathey can help with these bailouts. >> do you have any sense, linda,

of how many layoffs we could be looking at companies with workers as you know this, less than 500 people that makes up half of the private sector workforce in this country. how bad could it get >> well, it certainly could get bad. i don't have a crystal ball to look into that i know that some of the small businesses just people that i know that are trying to work with their employees, they're saying, you know, we're looking at every way we can reducing hours. you know, and that way rather than doing layoffs because it's harder to gear back up after layoffs than it is to work to try to stretch out the time. you can reduce hours, cut pay to help people stay where they are. so i think that when businesses can do that, then they help avoid, you know, the total layoffs. so those that can do that are certainly working with their employees to try to keep them on board. even at reduced hours, reduced

pay. >> thank you, linda mcmahon, for phoning in. >> thank you historic declines triggering a circuit breaker for the third time in two weeks. as economic activity grinds to the halt, the market should stay open the new york stock exchange floor is open. joining me is stacy cunningham, thanks for joining us. there has been a course of people saying close the market, give us some time to, you know, help our families prepare and kids are now home from school. what is the case for keeping it open >> i think it's good question, and i understand why people are asking it. they are concerned about the precipitous falloffs and want that to stop i think it's important to understand that the underlying causes of the market sell-off would not change if we stop trading and the market is a good indicator of what investor sentiment is and investors need access to their money.

also if we close the equity markets we would see selling occurring so it could have rippling effects so it's important to keep the markets open i want to address why people are asking that question and why we're hearing it more often. i think they're many viewers that are tuning in to cnbc today that might not be regular viewers of cnbc because this pandemic has really raised attention about the overall hit to the market. i think it's important to understand that there's uncertainty in the market. that's what we're seeing markets are not sure how the pandemic is going to unfold and what the impact on the economy is going on the. and investor anxiety that everyday american anxiety is being reflected by the market. but we do know one thing we will get through this and we will get to the other side i have had the opportunity to meet with so many members of our government across city, state, local, federal with our administration, with our regulators and with many ceos

and business leaders all of them have the same message. they're interested in helping. so right now we're focused on health and protecting americans and protecting people in their workforce and protecting them across the way and then

preventing some of those outliar movements in stocks is value this community adds every single day to our institutional

clients. and the market makers to issuers and investors. we're providing for testing as necessary to check for the virus. we've increased social distancing on the trading floor. we sent 700 people home, so they're not coming into the building any more, to reduce the number of people walking through the building we've taken a number of precautions like sanitizing the floor over the weekend and like all these things i just mentioned. at this time we don't have plans to close the floor, we can trade electronically if we did make that decision. we haven't gotten there. >> since we saw the third circle breaker triggered in the last week, explain how effective this is, what you think it accomplishes it takes a pause for 15 minutes.

what we've seen after each one of those circuit breakers, you saw this morning the spy was trading below 11% this morning, as we're getting ready to open the market, when we triggered that 7% decline and that 15 minute pause at the open, it slowed things down a little bit, it doesn't stop the market from going and moving down if that's where it's going to go, it gives investors a chance to absorb information and assess the situation we've seen them work the way we're supposed to work, we haven't triggeredthe 13% level decline. those are built in protections to just give investors time to absorb the information, they're working the way we're supposed to work, we've triggered three in the past week, which is unusual. but i think that's reflective of this unusual market condition. >> thanks for joining us >> thanks, sara. >> as we get through another tumultuous day of trading. consolidated equity positioning

heading into multiyear lows. what does that tell us >> a lot of the active investors, quantitative systematic funds have already largely reduced their exposure to equities before this week, essentially sold down whatever they had in equities, this is from deutche bank, this is the aggregate equity positioning level, and what you'll see is, it's not quite as low as some of these recent lows in the financial crisis, in late 2018, it's in the ball, pa, it's one of a number of measures that suggests that by many metrics, the market is getting sold out today there were 0 52 week highs in the stock exchange. essentially, the momentum to the down side has been so extreme, and at least this suggests that the tactical investors that move quickly, have already gone flat or negative on the markets as we're seeing, this market can go to further extreme, extremes

the longer this information void goes on. >> mike, stick around. if you want to bring in peter bookbar, he's the chief investor at bleakly group as we look ahead, what's going to be important in the overnight action, which marketsare you looking at as we try to figure out whether this brutal selloff continues. >> we closed at around important level, this 2300 level since that was the intraday and closing low back on december 2018 it will be really important to hold i think the key is obviously whether this selling here transfers over further to the asian markets and certainly europe tomorrow, i think the key is really getting past the next six weeks. i think the more you hear about shutdowns, while that may scare people from an economic perspective, it is what is needed in order to get over the hump in terms of containing this virus. >> mike, what will you be

watching >> is there a headline or a certain data point that you're waiting for? >> i don't think that's the immediate things that we're waiting for necessarily, i don't think that's necessarily going to be quick enough to determine whether this market makes its next move further to the down side or not. i think the market has been ranging so widely to the down side, not because it's in a precise way enoughing out what is going on with the economy people have no idea and they'd rather sell first and get liquid maybe we have to go to a level where it reaches the buying interest of people who admittedly have no idea where this is going. simply believe the market has gone down. howard marks was telling you earlier, i don't know where that is, we can 25uk about the 2018 low, it seems too close for us not to touch it. everything is in there in terms of the makings of one of these reflex moves higher, except for the sense that we have any real grasp on whatthe economy is

going to look like a few weeks out. we don't have the numbers in terms of testing volumes, for us to necessarily feel like we're tracking a metric that we can accept when it's going to turn all this stuff leaves everybody in the dark. >> to mike's point, another way of saying it, is that the selling could exhaust itself in the short term that it can just sort of run out, maybe it's not. as you said the number of test kits or some sort of metric we're waiting for, it can exhaust itself that leads us to a balance of some sort, then we can see how the news flow comes off that >> one thing i wanted to ask you about, the move in stocks has been stunning, what are you seeing in the bond market right now. what are treasuring telling you right now. why is gold falling? >> gold is falling in a liquidation type situation where everyone is selling what they can. the fed announcing 700 billion it's hugely bullish for gold and

silver as well it's just getting up in the crosshairs of a complete liquidation. i think in the credit markets, there's balance sheet worries, and that's where the excess was over the past 10 years relative to cashflows, relative to the overall economy. and now that you have worries about cashflows, can we service that debt? that gets to, did what the fed do, the fed announce able to address that and i don't think it is -- because i don't think the tools they've used will. i think we need banks to step up to be able to buy time for companies that need capital. i think the ned does need to get active in the paper market, that's where we're seeing a lot of dislocations. it's a huge crucial short term funding vehicle. >> mike, you know, we were discussing with howard marks a little bit about whether this was panic. not really panic, because it's not irrational it's so hard to characterize this, because people are

fearful. i mean, they're fearful for their families and their loved ones and at the same time, we're trying to game out the economic impact >> by the way, i think loud calls to close the stock market also tells you that there's panic out there, but it hasn't gone on long enough in my opinion, the wear and tear on psychology of investors to where they say, this is it, these levels get sense i think there's a sense of wow this has gone too far. when is it going to turn, maybe we see that attitude shift before you get some firmer footing. >> mike santoli, peter, thanks to both of you don't miss another special tonight. markets in turmoil, 7:00 p.m. eastern time let's bring in brian sullivan, after another day where it was the worst for the doi and the s&p 500 since 1987 you just heard stacy cunningham, president of the new york stock

exchange, we're not closing the markets. could close the floor, but that doesn't mean we're closing the markets. >> who are we to say talking to people on the markets all day long they're trying to get their home offices set up their risk management teams that cannot be reached by their traders. if you cannot reach your risk management team and you cannot find price discovery through getting these transactions approved, i'm not talking about buying or selling a stock. i'm talking about these complex structured products and derivatives which are the backbones of the market. if you can't have the people who can get their computers running at home. it's very hard to have an orderly market i wouldn't say anything about today was ordinarily >> the trish uri market, the paper market, a lot of people are worried about the functioning and why the fed ha