Apr 27, 2020 - Economy & Business

Trump economic adviser: Second-quarter GDP decline will be "worst since the Great Depression"

Kevin Hassett, a senior economic advisor to President Trump, told CNBC's Squawk Box Monday that the U.S. is likely to experience a GDP decline of between 20% and 30% in the second quarter.

Why it matters: Hassett said the decline, driven by the coronavirus pandemic, will be the "worst since the Great Depression."

What he's saying: "The really bad news we've been seeing in the initial [unemployment] claims will be spread out over a couple of months, but I'm expecting that when we see the unemployment for the first week of May, we're gonna see a number that's maybe 16%, 17%."

  • "The question is 'What happens next?' And that's what we're focused on right now in the White House."

The big picture: Around 26.5 million American workers have filed for unemployment benefits in the past five weeks, and unemployment is likely already at Great Depression-era highs.

Go deeper: White House to shift to economic message on coronavirus

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Updates: George Floyd protests continue past curfews

Police officers wearing riot gear push back demonstrators outside of the White House on Monday. Photo: Jose Luis Magana/AFP via Getty Images

Protests over the death of George Floyd and other police-related killings of black people continued Tuesday across the U.S. for the eighth consecutive day — prompting a federal response from the National Guard, Immigration and Customs Enforcement and Customs and Border Protection.

The latest: Protesters were still out en masse even as curfews set in Washington, D.C., and New York City. Rep. Alexandria Ocasio-Cortez (D-N.Y.) slammed the New York Police Department late Tuesday following reports of police kettling in protesters on Manhattan Bridge.

Primary elections test impact of protests, coronavirus on voting

Election official at a polling place at McKinley Technology High School in Washington, D.C. Photo: Drew Angerer/Getty Images

In the midst of a global pandemic and national protests over the death of George Floyd, eight states and the District of Columbia held primary elections on Tuesday.

Why it matters: Joe Biden, the presumptive Democratic nominee, needs to win 425 of the 479 delegates up for grabs in order to officially clinch the nomination. There are a number of key down-ballot races throughout the country as well, including a primary in Iowa that could determine the fate of Rep. Steve King (R-Iowa).

Iowa Rep. Steve King defeated in GOP primary

Rep. Steve King. Photo: Alex Wroblewski/Getty Images

State Sen. Randy Feenstra defeated incumbent Rep. Steve King in Tuesday's Republican primary for Iowa's 4th congressional district, according to the Cook Political Report.

Why it matters: King's history of racist remarks has made him one of the most controversial politicians in the country and a pariah within the Republican Party.