POLITICO NIGHTLY: The Great American Shutdown

By Renuka Rayasam, Sudeep Reddy and Ryan Heath

THE WORLD'S LEADING ECONOMY is executing an unprecedented, emergency transformation of public life. In a single day, the MLB, NHL and MLS joined the NBA in suspending professional sports. The NCAA canceled March Madness and Little League put games on hold. Disneyland and Disney World are closing. Churches, concerts, theaters, parades, parks, zoos and museums are meeting the fate of conferences and conventions. School districts are joining universities to suspend teaching or shutter buildings. Businesses large and small from coast to coast are devising and implementing, on the fly, once-unimaginable plans to turn their workspaces into ghost towns. America is shutting down to save itself. After witnessing a fumbling federal government response for weeks, the nation's leaders at every other level are lurching into extreme action to halt the explosion of the novel coronavirus. How the crisis ends is straightforward: Flatten the curve, by letting health authorities — among the few officials with credibility in this moment — take extreme action. End the panic, by keeping everyone sequestered. And quickly cushion the economy, by providing government support to offset the most sudden, far-reaching shock to hit a wide range of industries and workers. All of this will be necessary; none of it will be easy. A DAY AFTER PRESIDENT DONALD TRUMP delivered a rare Oval Office address to calm the public, investors assumed they're getting none of that and rendered a swift verdict: The stock market took its worst plunge since 1987's "Black Monday" crash, tumbling 10 percent in one day, despite emergency Fed action. And then it kept falling after hours. Here's what to watch on Friday: — Market meltdown. Another day like today will easily erase the last of the stock market gains posted since Donald Trump's inauguration in January 2017. Wall Street's most popular gauge of panic, the VIX, closed just above 75 — striking distance from the all-time high around 80 reached in 2008. — Non-bailout bailout. Trump aides are rushing to design an emergency rescue for struggling industries. — Where are the tests? The nation's top disease doc, Tony Fauci, admitted that the U.S. coronavirus-testing system is "failing" to deliver. The White House will have to change that to flatten the coronavirus curve. — Deal or no deal. Trump's aides and Democratic lawmakers were talking into Thursday night — that's a good sign. Not a good sign: Republican lawmakers aren't on board. (It's like the fall of 2008 revisited.) An announcement could come early Friday. — State of emergency. The Trump administration is moving toward a declaration under the Stafford Act that will deliver tens of billions of dollars in federal funding. — Emergency in the states. Maryland and Ohio are shutting down their schools. (Belgium is shutting down schools, bars and restaurants.) This time it's actual contagion — not just financial contagion — everyone's worried about. Take a spin through the biggest stories below and listen to the latest coronavirus episodes of POLITICO Dispatch, a new podcast from POLITICO's newsroom. Listen to the latest POLITICO Dispatch podcast Welcome to POLITICO Nightly: Coronavirus Special Edition. We'll provide a nightly intelligence brief from our global newsroom on the impact of the coronavirus on politics and policy, the economy and global health. Reach out: rrayasam@politico.com and @renurayasam. Hand sanitizer was seen on the floor of the New York Stock Exchange as markets continued their volatility Thursday. | Getty Images Exclusive Deepening the divide — Advocates warn that the novel coronavirus will only deepen the digital divide, especially as more companies ask employees to telework and schools move classes online. Only 48 percent of employees are equipped to work remotely, according to a new poll of 1,000 full-time private sector workers for GSG Employee Communications, shared exclusively with POLITICO Nightly. Most workers would rather that their bosses clean their offices and offer paid sick leave. Low-income and rural students who lack an internet connection and computer will also be devastated by the push to move classes online. Throwing caution to the wind — A new Harris Poll of more than 2,000 U.S. adults found 81 percent of Americans 65 or older are still willing to join family social gatherings, compared to 71 percent of millennials. Seven in 10 adults worry the government cannot effectively respond to the outbreak, but a majority also believe the media is overhyping the issue. Turning to Congress Mixed messages — As Washington races to pass an aid package to buoy affected Americans against the backdrop of a rapidly escalating crisis, some leaders are worried about branding. Senate Majority Leader Mitch McConnell is slamming a bill unveiled by House Democrats that includes safety net strengthening provisions like extended paid sick leave, as an "ideological wish list." The response is also testing the boundaries of the Trump's administration's fiscal prudence. Republicans are balking at a separate aid package to airlines, hotels and other industries affected by the drop in sales being planned by the White House. Just don't call it a bailout. 2020 Watch Politics, not as usual — How do you campaign without kissing babies or shaking hands? Sunday's Democratic debate will happen in a studio in D.C. with no live audience. Massachusetts campaigns are leaning on virtual town halls, spending more on digital ads and asking supporters to reach out to friends — on the phone. And Joe Biden is postponing the in-person fundraisers that have fueled his campaign, leaving him to retool a multimillion-dollar strategy at a critical moment, POLITICO's Maggie Severns and Shia Kapos report. "So while Donald Trump has already raised hundreds of millions of dollars for reelection, Biden may be in a very dangerous spot, with significantly fewer funds in his coffers," Matthew Littman, a former Biden speechwriter based in Los Angeles, said. Biden's contact-free campaigning includes a fundraiser via videoconference later this month. The conference will include an "exclusive private briefing" with campaign staff, remarks from the former vice president and a Q&A, capped at 50 people who are asked to donate $1,000 each, according to an invitation reviewed by POLITICO. Walt Disney World and Disneyland closed their doors on Thursday due to coronavirus. | Orlando Sentinel via AP The Global Fight POLITICAL LEADERS TAKE A HIT — With governments struggling to handle the coronavirus threat, some world leaders are starting to see their approval ratings nose-dive. Those taking swift action — including the leaders of South Korea and Australia — are getting a bounce. Why it matters: The more leaders find themselves in domestic political trouble, the less wriggle room they'll have to coordinate an effective response to the pandemic with other countries or to lead one at home. WHO'S DOWN: Italy: Conte is down 19 points since November. (His approval is polled less often because he does not belong to a party.) Japan: Shinzo Abe has been nearly invisible in recent weeks, and it's taking a toll: He's down 7 points. South Korea: President Moon Jae-in saw a 5-point drop in February, though Gallup reports a 2-point rise in recent days. United States: FiveThirtyEight's polling average has Trump 2.3 points down from his post-impeachment trial level of 44.6 percent on February 18. WHO'S AT ROCK BOTTOM: Canada: Justin Trudeau nose-dived from 43 percent to 33 percent since mid-January. (Domestic protests were also a major factor.) Shachi Kurl of the Angus Reid Institute said Trudeau's next coronavirus steps "could make or break it over the next six months." Trudeau's troubles are also hitting closer to home — his wife tested positive for the virus. WHO'S UP: Germany: As of March 5, German Health Minister Jens Spahn is the most popular health minister in the history of ARD polling , with support levels at 51 percent. Chancellor Angela Merkel is steady — and remains the country's most popular politician at 53 percent. Australia: Scott Morrison is one of the few leaders seeing their approval levels rise this week: from 39 to 41 percent. The prime minister announced a major stimulus package Thursday. KEEPING IT TOGETHER — Nations across Europe are taking different measures with varying degrees of success in the fight against coronavirus. POLITICO has a comprehensive guide to the action and even a gauge of how panicked each country is based on the intensity of media coverage, people going on buying sprees and other indicators. Parting Words Charlotte St. Martin, president of the Broadway League, shared a hopeful note for when the doors of Broadway reopen: "Once our stages are lit again, we will welcome fans back with open arms so that they can continue to experience the joy, heart, and goodwill that our shows so passionately express every night."   Follow us on Twitter Renuka Rayasam @renurayasam   Follow us  POLITICO, LLC 1000 Wilson Blvd. Arlington, VA, 22209, USA