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Data: Staff research; Chart: Axios Visuals

Economists are cutting expectations for first quarter GDP to reflect the government shutdown's hit to the economy, but not all of the growth lost during the shutdown is forever gone.

What they're saying: Barclays economist Michael Gapen cited the shutdown's "effects on consumer spending and other expenditure categories over and above the direct effect in terms of the drop in production by furloughed government workers."

The big picture: The CBO estimates the shutdown cost the economy $11 billion, including $3 billion of activity that won't be recovered.

  • "Some businesses could not obtain federal permits and certifications, and others faced reduced access to loans provided by the federal government. Such factors were probably beginning to lead firms to postpone investment and hiring decisions," CBO officials wrote in their report.
  • Unsurprisingly, the White House disagrees that the shutdown's economic impact was this severe.

What's going on: Three of the big banks raised estimates for second quarter growth, alongside their first quarter downgrades, saying that the lost economic activity will resurface in the second quarter.

  • There will be a rebound in economic activity in the second quarter once federal employees — many of whom couldn’t work for 35 days, and missed two weeks of pay — work for an uninterrupted quarter, Morgan Stanley economist Ellen Zentner wrote in a note.

Yes, but: Ethan Harris, an economist at Bank of America, who also upped his second quarter growth forecast says "only some of the lost private sector spending will come back."

  • The White House says backpay for federal workers is expected by the end of the week, but not all contractors can recoup wages.

Watch this space: S&P points out that lost productivity from furloughed employees won’t be recovered and business confidence will slump, especially if it appears that we’re headed for another government shutdown in three weeks.

Our thought bubble, from Axios' Dion Rabouin: It's important to note that the length of this shutdown is unprecedented. The 35-day shutdown was two weeks longer than the previous record in 1995-96 and more than twice as long as the 16-day shutdown in 2013.

Go deeper: Treasury will again borrow $1 trillion to pay for tax cuts, spending

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Robert Mueller speaks out on Roger Stone commutation

Former Special Counsel Robert Mueller testifies before the House Permanent Select Committee on Intelligence on Capitol Hill on Wednesday July 24, 2019. Photo: The Washington Post / Contributor

Former special counsel Robert Mueller responded to claims from President Trump and his allies that Roger Stone was a "victim" in the Justice Department's investigation into Russian interference in the 2016 election, writing in a Washington Post op-ed published Saturday: "He remains a convicted felon, and rightly so."

Why it matters: The rare public comments by Mueller come on the heels of President Trump's move to commute the sentence of his longtime associate, who was sentenced in February to 40 months in prison for crimes stemming from the Russia investigation. The controversial decision brought an abrupt end to the possibility of Stone spending time behind bars.

Trump dons face mask during Walter Reed visit

Trump wearing a face mask in Walter Reed National Military Medical Center on July 11. Photo: Alex Edelman/AFP via Getty Images

President Trump wore a face mask during his Saturday visit to Walter Reed National Military Medical Center, according to AP.

Why it matters: This is the first known occasion the president has appeared publicly with a facial covering as recommended by health officials since the coronavirus pandemic began, AP writes.

Updated 11 hours ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 5:30 p.m. ET: 12,607,510 — Total deaths: 562,338 — Total recoveries — 6,948,863Map.
  2. U.S.: Total confirmed cases as of 5:30 p.m. ET: 3,228,884 — Total deaths: 134,600 — Total recoveries: 983,185 — Total tested: 38,919,421Map.
  3. Public health: Jimmy and Rosalynn Carter: "Please wear a mask to save lives" Fauci hasn't briefed Trump on the coronavirus pandemic in at least two months — We're losing the war on the coronavirus.
  4. Food: How the coronavirus pandemic boosted alternative meat.
  5. Sports: Charge of "money grab" by college football.
  6. World: India reimposes lockdowns as coronavirus cases soar.