no it is not harmful but it can definitely reduce the frequency a bit, especially initially. however, co-sleeping does not have to mean that you cannot have a good sex life. once the baby is asleep, you can always make use of other rooms and spaces in the house!
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Not harmful but the couple's sex life needs much planning -- stealthily sneaking out of the bed and into the other room, making no noise and the act itself needs to be pretty discreet.
Change things up for a bit. Take half day off and have a date? Get your parents or in-laws to help look after the child over the weekends? ;)