Hurricane Matthew Caused Estimated $10 Billion Damage in U.S

New York, 12 Muharram 14388/13 October 2016 (MINA) – Hurricane Matthew caused $10 billion in damage in the United States as it swept through southeastern states, Goldman Sachs estimated Wednesday.

After devastating western Haiti, Matthew slowly moved up the U.S. coast from Florida to North Carolina on October 6 to 9, causing widespread wind and flooding damage, SPA reported.

Goldman Sachs analysts said the preliminary property damage estimate is about $10 billion, with about half of that insured loses. Historically, the damage estimate is relatively small, making Matthew the 22nd worst storm in terms of property damage, it said.

The impact on the U.S. economy likely will be minimal. Based on earlier storms, there could be a 0.1 to 0.2 percentage point drop in October industrial production, Goldman Sachs said.

But both industrial output and employment “are likely to rebound the following months, and we do not expect a noticeable effect on the quarterly GDP (gross domestic product) numbers,” it said.

“Whatever the direct losses to property, they will not be directly visible in most economic indicators, which focus on the flow of new production, sales, and employment, rather than the stock of existing wealth,” Goldman Sachs said. (T/R07/R01)

Mi’raj Islamic News Agency (MINA)