Spread of Coronavirus creating economic impacts

From wedding dresses to beer - as the virus spreads it's shutting down factories abroad and making beer drinkers unnecessarily nervous.

By: Brittany Comak

Email: bcomak@abc6.com

Twitter: @BComakABC6

PROVIDENCE, R.I. (WLNE) – From wedding dresses to beer – as the Coronavirus spreads it’s shutting down factories abroad and making beer drinkers unnecessarily nervous.

Wall Street also became infected with the virus this week. The stock market saw the largest loss in one week since the Great Recession.

The Federal Reserve Chair Jerome Powell issued a statement saying in part that they are ready to step in to support the economy.

Some though are brushing off the steep fall.

“I just don’t think this short term stock market plunge is going to have any long term effect,” said Director of the National Economic Council Larry Kudlow.

Here in Rhode Island, though they say they aren’t feeling the effects just yet, Ana’s Bridal in East Providence has been getting constant updates from the designers they carry because many of their Chinese factories are closed.

An employee there tells me, they never considered the virus could impact them when it first broke out.

“A lot of people probably don’t realize that a lot of the things we have here are from China,” said employee Cheyenne Machado. “You think that little toys and things are made there but not exactly the fabrics for wedding gowns.”

Machado says as of now they feel they’ll be able to fill all orders on time. But just this week they received a letter from one of their designer that says some of their fabric suppliers in China have had to shut down, which will impact production.

“I don’t think it’s in a lot of the brides’ heads that this could impact their wedding dress,” said Machado. “But making the decision, as of the time frame right now, as they’re still running, and they’re still operating, then I’d say you can order it. We feel confident, we’re allowing them to order it.”

And two surveys out this week also indicate that some drinkers are confused as to whether or not Corona beer is linked to the virus.

To clarify, it is not.

Their stocks also tumbled with the rest of the market this week.

In a statement, the company simply said that they know their customers understand the two are not related.

 

©WLNE-TV/ABC6 2020

Categories: News, Rhode Island, US & World News