CNBC Economy

Financial markets and the White House are demanding interest rate cuts from the Federal Reserve that may not work and may not even be necessary.

Manufacturing activity in the U.S. grew at a slower-than-expected pace last month as the coronavirus outbreak dampened sentiment.

"More cases are showing up in the U.S. and seem likely to be just the start," Ed Hyman said. "Scope, severity, and duration are uncertain."

Trump increased pressure on the Fed to cut, tweeting Monday that the U.S. central bank is falling behind its global peers.

The Fed should now focus on a vigilant oversight of the banking system it supervises and regulates, Dr. Michael Ivanovitch writes.

Mortgage rates just fell to an 8-year low, but they are not falling as fast as Treasury yields, because of the swiftness of the declines and the resulting risk to investors in mortgage-backed bonds.

Goldman Sachs said it sees three rate cuts from the Federal Reserve from March through June.

"The foundation of war is economics," Tesla and SpaceX CEO Elon Musk said at the Air Warfare Symposium in Orlando, Fla.

Markets are anticipating the Fed will cut rates four times this year amid a scare that the virus would cause a sharp slowdown in global growth.

Warsh spoke a day after he called for the Fed to cut interest rates in response to the outbreak.

Americans pulled back on their spending in January, even as their incomes surged, a sign the economy was growing modestly before the threat of coronavirus arose.

Goldman Sachs revised its earnings estimate for the year to $165 per share, representing 0% growth in 2020.

GDP is projected to slow to 2.8% for 2020, which BofA Global Research said would be the first sub-3% reading since the Great Recession.

For one economist, the "biggest thing" to watch now is the impact the coronavirus outbreak could have on U.S. consumers.

Pending home sales in January smashed analyst expectations of a 2% monthly gain.

The number of Americans filing for unemployment benefits increased more than expected last week, but the underlying trend remained consistent with solid labor market conditions.

The U.S. economy grew moderately in the fourth quarter, the government confirmed on Thursday, and is facing a bumpy road in early 2020 amid the fast-spreading deadly coronavirus that has roiled financial markets.

Orders to U.S. factories for big-ticket manufactured goods dipped in January, pulled down by decreased demand for cars, auto parts, and military aircraft.

Housing market strength could help keep the economic expansion, now in its 11th year, on track.