Fed chief says coronavirus surge starting to dent U.S. economic recovery
4 years, 5 months ago

Fed chief says coronavirus surge starting to dent U.S. economic recovery

The Hindu  

The surge in U.S. coronavirus cases and the restrictions aimed at containing it have begun to weigh on the economic recovery, the head of the Federal Reserve said on Wednesday, pointing to an apparent pullback by consumers and a slowdown in the rehiring of furloughed workers, particularly by small businesses. “We have seen some signs in recent weeks that the increase in virus cases and the renewed measures to control it are starting to weigh on economic activity,” Fed Chair Jerome Powell said in a news conference following release of the U.S. central bank’s latest policy statement. The United States “has entered a new phase in containing the virus, which is essential to protect both our health and our economy.” Powell’s comments, made via videoconference, confirmed what many economists and other analysts have maintained in recent weeks as coronavirus infections exploded in a number of southern and southwestern states, dimming hopes for a quick economic rebound. The Fed’s policy statement on Wednesday directly tied the economic recovery to resolution of a health crisis whose direction remains much in doubt. Fed policymakers repeated a pledge to use their “full range of tools” to support the economy and keep interest rates near zero for as long as it takes to recover from the fallout from the epidemic, saying the economic path will depend significantly on the course of the virus.

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History of this topic

Opinion: ‘Unprecedented by most measures’: Calculating the astonishing economic costs of COVID
1 year, 7 months ago

Opinion: ‘Unprecedented by most measures’: Calculating the astonishing economic costs of COVID

LA Times  

The economic toll of the COVID-19 pandemic in the United States will reach $14 trillion by the end of this year, our team of economists, public policy researchers and other experts estimate. We used data from the first 2½ years of the pandemic to forecast total economic losses from the pandemic over four years, from January 2020 through December 2023. …

US, Chinese officials discuss climate, economy, relationship
1 year, 11 months ago

US, Chinese officials discuss climate, economy, relationship

Associated Press  

ZURICH — U.S. Treasury Secretary Janet Yellen met on Wednesday with her Chinese counterpart and pledged an effort to manage differences and “prevent competition from becoming anything ever near conflict” as the two nations try to thaw relations. A U.S. Treasury readout of the 2 1/2-hour meeting says the two agreed that the U.S. and China would cooperate more on …

In our 'profound interest' that China reins in latest surge in coronavirus infections: Antony Blinken
2 years ago

In our 'profound interest' that China reins in latest surge in coronavirus infections: Antony Blinken

The Hindu  

It is in America's "profound interest" that China reins in the recent surge in coronavirus infections, U.S. Secretary of State Antony Blinken has said, asserting that there are major implications if the world's second-largest economy remained shut down due to the virus. When asked about the latest surge in COVID-19 cases in China, Mr. Blinken said the U.S. wants to …

Impending economic crisis will dwarf coronavirus crisis, says credit insurer Allianz
2 years, 2 months ago

Impending economic crisis will dwarf coronavirus crisis, says credit insurer Allianz

NL Times  

The looming economic crisis will make the coronavirus crisis look like nothing, according to credit insurer Allianz Trade. Rarely have so many negative facts come together simultaneously,” Johan Geeroms, director of risk underwriting in the Benelux for Allianz, said in a press statement. And, partly due to the 10 percent increase in the minimum wage the government announced for next …

The economy is recovering fast. But we need to ensure it works for everyone
2 years, 10 months ago

The economy is recovering fast. But we need to ensure it works for everyone

CNN  

Editor’s Note: Elise Gould is a senior economist at the Economic Policy Institute. When the coronavirus pandemic shut down businesses across the US in spring 2020, the labor market lost 22 million jobs in just two months — more than twice as many jobs lost during the entire Great Recession and financial crisis of 2008-2009. Given that a full labor …

US GDP slowed sharply in Q3 but big rebound expected in Q4
3 years, 1 month ago

US GDP slowed sharply in Q3 but big rebound expected in Q4

Associated Press  

WASHINGTON — The U.S. economy slowed to a modest annual rate of 2.1% in the July-September quarter according to the government’s second read of the data, slightly better than its first estimate. The economy’s weak summer performance reflected a big slowdown in consumer spending as a spike in COVID-19 cases from the delta variant caused consumers to grow more cautious …

Fed pulls back economic aid in face of rising uncertainties
3 years, 2 months ago

Fed pulls back economic aid in face of rising uncertainties

Associated Press  

WASHINGTON — If you find the current economy a bit confusing, don’t worry: So does the nation’s top economic official, Federal Reserve Chair Jerome Powell. The Fed won’t likely gain a clear view of inflation and the job market, Powell suggested, until COVID-19 and its economic consequences — reduced travel, diminished spending, supply and labor shortages — further ease. “We …

Fed pulls back economic aid in face of rising uncertainties
3 years, 2 months ago

Fed pulls back economic aid in face of rising uncertainties

Associated Press  

WASHINGTON — If you find the current economy a bit confusing, don’t worry: So does the nation’s top economic official, Federal Reserve Chair Jerome Powell. The Fed won’t likely gain a clear view of inflation and the job market, Powell suggested, until COVID-19 and its economic consequences — reduced travel, diminished spending, supply and labor shortages — further ease. “We …

Jerome Powell says it’s unclear what Covid-19 surge means for economy
3 years, 4 months ago

Jerome Powell says it’s unclear what Covid-19 surge means for economy

Live Mint  

Federal Reserve Chairman Jerome Powell said it remains to be seen how the U.S. economy will weather the recent Covid-19 surge, in comments that offered no views on the outlook for monetary policy. “It’s not yet clear whether the Delta strain will have important effects on the economy; we’ll have to see about that," Mr. Powell told students and teachers …

Fed Says US Economy Showing Progress But 'Not Fully Recovered'
3 years, 5 months ago

Fed Says US Economy Showing Progress But 'Not Fully Recovered'

News 18  

The US economic recovery is showing signs of progress, but the Federal Reserve said Wednesday it is not yet ready to end the easy money policies it implemented as the pandemic began last year. Widespread vaccinations have helped boost business activity and employment, though the sectors hardest hit by the Covid-19 pandemic “have shown improvement but have not fully recovered,” …

Fed survey: US economy strong but hindered by bottlenecks
3 years, 5 months ago

Fed survey: US economy strong but hindered by bottlenecks

Associated Press  

WASHINGTON — The Federal Reserve’s latest nationwide business survey found that the economy strengthened further in late May and early June, despite supply-chain bottlenecks that led to price hikes. The Fed said Wednesday that seven of its 12 regional bank districts reported strong price increases with some businesses expressing concerns that the supply chain disruptions would push prices even higher. …

US recovery from pandemic recession is showing momentum
3 years, 8 months ago

US recovery from pandemic recession is showing momentum

Associated Press  

WASHINGTON — Powered by consumers and fueled by government aid, the U.S. economy is achieving a remarkably fast recovery from the recession that ripped through the nation last year on the heels of the coronavirus and cost tens of millions of Americans their jobs and businesses. The economy grew last quarter at a vigorous 6.4% annual rate, the government said …

The engine of the US economy, consumer spending, sputters again
3 years, 11 months ago

The engine of the US economy, consumer spending, sputters again

Al Jazeera  

Surging COVID-19 infections and restrictions in December slammed the brakes on the engine of the US economy – consumer spending – for the second consecutive month. Business-sapping restrictions designed to contain spiralling COVID-19 infections slammed the brakes on the engine of the United States economy in December, as consumers kept their wallets snapped shut and hunkered down at home. Consumer …

U.S. Economy Slows Sharply As Pandemic Resurges
3 years, 11 months ago

U.S. Economy Slows Sharply As Pandemic Resurges

NPR  

U.S. Economy Slows Sharply As Pandemic Resurges Enlarge this image toggle caption Frederic J. Brown/AFP via Getty Images Frederic J. Brown/AFP via Getty Images Updated at 1:12 p.m. "There's nothing more important to the economy now than people getting vaccinated," Federal Reserve Chairman Jerome Powell said Wednesday. Sponsor Message "The economy remains in a delicate spot," said Jim Baird, chief …

U.S. economy shrank 3.5% in 2020 but grew 4% in the last quarter
3 years, 11 months ago

U.S. economy shrank 3.5% in 2020 but grew 4% in the last quarter

LA Times  

Stuck in the grip of the COVID-19 pandemic, the U.S. economy shrank in 2020 by the largest amount in 74 years but grew at a 4% annual rate in the final three months of the year. For 2020 as a whole, a year when the coronavirus inflicted the worst economic freeze since the end of World War II, the economy …

The US Fed’s high-wire act has clearly become much trickier
3 years, 11 months ago

The US Fed’s high-wire act has clearly become much trickier

Live Mint  

The US Federal Reserve’s top policy-making committee will meet this week facing significant cross-currents: How best to balance a dimmer short-term economic outlook with a brighter longer-term one, and how to maintain highly stimulative monetary policy notwithstanding the prospects of significant fiscal expansion. Given existing financial conditions and the multiplying evidence of excessive risk-taking in markets, the Fed could be …

New COVID-19 lockdowns imperil global economy’s recovery
3 years, 11 months ago

New COVID-19 lockdowns imperil global economy’s recovery

Al Jazeera  

Vaccine roll-outs have been a major reason for investors’ rosy outlook, but concerns about mutant strains have tempered optimism. A major chunk of the global recovery in companies’ earnings – recovery expected in the first quarter of 2021 – is at risk of being pushed back further as coronavirus lockdowns and mobility restrictions in several countries cloud hopes of a …

Economic impact of coronavirus will hit next year, experts say
4 years, 1 month ago

Economic impact of coronavirus will hit next year, experts say

Dutch News  

Despite the slight drop in the unemployment rate this week, and signs of a speedier economic recovery from the coronavirus crisis, the big hit will be felt in the second quarter of next year, according to experts. In total, 102 banking, legal and investment experts took part in a survey on the likely impact of the crisis carried out by …

IMF says global economic recovery may be fading, risks still very high
4 years, 1 month ago

IMF says global economic recovery may be fading, risks still very high

Live Mint  

The International Monetary Fund warned the world economy’s recovery may be fading as the resurgence of the coronavirus forces fresh restrictions to be imposed on households and companies. “While global economic activity has picked up since June, there are signs that the recovery may be losing momentum, and the crisis is likely to leave deep, unequal scars,” officials at the …

Alan Greenspan: I’ve never seen anything like this
4 years, 1 month ago

Alan Greenspan: I’ve never seen anything like this

CNN  

New York CNN Business — The incoming administration of President-elect Joe Biden has its work cut out for it, and getting the virus under control should bethe number one priority, according to former Federal Reserve Chairman Alan Greenspan, a move that will help save the economy. “I’ve never seen a particular situation during my professional experience anything like this,” the …

Fed's Powell says surge in virus cases threatens US economy
4 years, 1 month ago

Fed's Powell says surge in virus cases threatens US economy

The Independent  

Sign up to our free Living Well email for advice on living a happier, healthier and longer life Live your life healthier and happier with our free weekly Living Well newsletter Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Please …

US economy adds 638,000 jobs in October as recovery slows
4 years, 2 months ago

US economy adds 638,000 jobs in October as recovery slows

Al Jazeera  

While the US jobs market is moving in the right direction, the recovery is facing major headwinds including surging COVID-19 infections and the risk that struggling households will blow through their savings as federal virus relief aid dwindles. The economy added 638,000 jobs in October, the US Bureau of Labor Statistics reported on Friday – 34,000 fewer than September’s revised …

Stocks Tumble As Coronavirus Cases Spike Again In U.S. And Europe
4 years, 2 months ago

Stocks Tumble As Coronavirus Cases Spike Again In U.S. And Europe

NPR  

Stocks Tumble As Coronavirus Cases Spike Again In U.S. And Europe Enlarge this image toggle caption Nam Y. Huh/AP Nam Y. Huh/AP Updated at 5 p.m. ET Stocks on Monday posted their worst day since early September amid a surge in coronavirus cases in the United States and Europe and declining optimism about another U.S. pandemic relief bill. "There continue …

New coronavirus surge in the US: What you need to know
4 years, 2 months ago

New coronavirus surge in the US: What you need to know

Al Jazeera  

Several states report spike in hospitalisations and jumps in new cases, raising concerns of a ‘third wave’. “Things are starting to move in a concerning direction,” Justin Lessler, associate professor of epidemiology at the Johns Hopkins Bloomberg School of Public Health, told Al Jazeera. Learn more: https://t.co/1nMYQAjpSq pic.twitter.com/iObgUYrTeE — CDC October 21, 2020 Amesh Adalja, senior scholar at Johns Hopkins …

COVID delay: New coronavirus relief slipping past election
4 years, 2 months ago

COVID delay: New coronavirus relief slipping past election

The Independent  

Sign up for the daily Inside Washington email for exclusive US coverage and analysis sent to your inbox Get our free Inside Washington email Get our free Inside Washington email SIGN UP I would like to be emailed about offers, events and updates from The Independent. Liberal economist Jared Bernstein, who worked for Democratic presidential nominee Joe Biden in 2009 …

IMF sees shallower recession, tough path back to full recovery
4 years, 2 months ago

IMF sees shallower recession, tough path back to full recovery

Live Mint  

The International Monetary Fund warned that the world economy still faces an uneven recovery until the coronavirus is tamed even as it offered a less-dire view of this year’s recession following massive stimulus from central banks and governments. The fund now forecasts world gross domestic product to shrink 4.4% this year, compared with the 5.2% drop seen in June, according …

Here’s more evidence of China’s strong recovery from coronavirus
4 years, 3 months ago

Here’s more evidence of China’s strong recovery from coronavirus

Al Jazeera  

The country’s services sector continues its rebound from the depths of coronavirus lockdowns as companies also add jobs. The recovery in China’s service sector activity extended into a fifth straight month in September, an industry survey showed on Friday, with hiring increasing for the second month in a row. The Caixin/Markit services Purchasing Managers’ Index rose to 54.8 from August’s …

Steady Rise in Covid-19 Cases, Spillover Effects of Lockdown to Hit India's Economic Growth, Says Report
4 years, 3 months ago

Steady Rise in Covid-19 Cases, Spillover Effects of Lockdown to Hit India's Economic Growth, Says Report

News 18  

Resurgence in Covid-19 cases is the main headwind for the global economy, and in India the steady rise in coronavirus caseloads will have an adverse impact on the country’s economic growth, says a report. Singh added that “restrained government finances, probable defaults by firms and the consequent subdued investment demand will continue to be a drag on growth.” India’s economy …

Jobs and other economic gauges signal slowing US recovery
4 years, 3 months ago

Jobs and other economic gauges signal slowing US recovery

Al Jazeera  

Hopes for a continuous, rapid rebound for the recession-ridden United States economy were dealt another dose of reality on Thursday, with gauges of layoffs, consumer spending, incomes and factory activity all signalling America’s recovery is shifting into low gear. On the jobs front, claims for initial unemployment benefits filed with states – a proxy for layoffs – fell by 36,000 …

Getting COVID-19 Is Putting Americans On The Brink Of Economic Crisis
4 years, 3 months ago

Getting COVID-19 Is Putting Americans On The Brink Of Economic Crisis

Huff Post  

LOADING ERROR LOADING Contracting COVID-19 is putting already financially stressed Americans on the brink of economic disaster. Of the Americans who’ve contracted COVID-19, 63% are facing serious financial problems, according to a survey released Wednesday morning from NPR, the Robert Wood Johnson Foundation and Harvard University’s T.H. Instead they found widespread, serious financial distress ― particularly among Americans earning less …

Stocks week ahead: The economic recovery hangs in the balance as winter approaches
4 years, 3 months ago

Stocks week ahead: The economic recovery hangs in the balance as winter approaches

CNN  

A version of this story first appeared in CNN Business’ Before the Bell newsletter. The UK government isn’t ruling out another national lockdown, though the health secretary has said it would be “the last line of defense.” Such measures would be the worst-case scenario for economies experiencing a historic expansion following a record contraction. Just take it from Federal Reserve …

US coronavirus case rates are ticking up after weeks of decline
4 years, 3 months ago

US coronavirus case rates are ticking up after weeks of decline

CNN  

CNN — Daily US coronavirus cases have been ticking up recently, a trend medical experts have said they won’t want to see as a potentially complicated flu season approaches. “We really need to see flu vaccination uptake increased across the Northern Hemisphere … especially this year,” Maria Van Kerkhove, the World Health Organization’s technical lead for coronavirus, said Friday. A …

Greedy investors give the US Fed a thumbs down, eye more stimulus
4 years, 3 months ago

Greedy investors give the US Fed a thumbs down, eye more stimulus

Live Mint  

The US Federal Reserve has said that it would keep interest rates low at least until 2023. US equities “That interest rates would remain low for a prolonged period was already baked-in by the market. “So, markets always want more and while risk assets might love the intravenous drip of monetary stimulus, it is time to focus on policies that …

Coronavirus has set global health progress back decades: Gates Foundation
4 years, 3 months ago

Coronavirus has set global health progress back decades: Gates Foundation

India Today  

The knock-on effects of the coronavirus pandemic have halted and reversed global health progress, setting it back 25 years and exposing millions to the risk of deadly disease and poverty, a report by the Bill & Melinda Gates Foundation warned on Tuesday. The Foundation's Goalkeepers report, which tracks progress on the United Nations Sustainable Development Goals of reducing poverty and …

World economy: What else could go wrong before 2020 is done
4 years, 4 months ago

World economy: What else could go wrong before 2020 is done

Live Mint  

The world economy’s rebound from the depths of the coronavirus crisis is fading, setting up an uncertain finish to the year. Adding 1.4 million jobs in August was “a big step in the right direction,” said Ryan Sweet, head of monetary policy research at Moody’s Analytics. But the economy needs to maintain that kind of pace, he said, and “without …

US unemployment rate falls to 8.4% even as hiring slows
4 years, 4 months ago

US unemployment rate falls to 8.4% even as hiring slows

Hindustan Times  

The US unemployment rate fell sharply in August to 8.4% from 10.2% even as hiring slowed, with employers adding the fewest jobs since the pandemic began. A report from the Labor Department added to evidence that nearly six months after the coronavirus paralyzed the country, the economy is mounting only a fitful recovery. Employers added 1.4 million jobs, the Labor …

There’s no winning the coronavirus recovery
4 years, 4 months ago

There’s no winning the coronavirus recovery

Live Mint  

Many of the governments once lauded for their textbook Covid-19 responses, replete with strict lockdowns, sophisticated contact-tracing apps and clearly articulated policies, got tripped up by something in the end. Despite doing a lot of things right, it has seen the steepest collapse of major East Asian economies, with a decline in gross domestic product of 17.1% from a year …

Japan's spending slump eases as economy reopens, coronavirus clouds outlook
4 years, 5 months ago

Japan's spending slump eases as economy reopens, coronavirus clouds outlook

India Today  

Japan's household spending fell at a much slower pace in June than in the previous month as the economy re-opened from lockdown measures to contain the coronavirus pandemic, offering some hope of a moderate recovery later this year. Household spending in June declined 1.2 per cent from a year earlier, government data showed on Friday, less than a median market …

Summertime sadness: Resurgent coronavirus dims economic recovery hopes
4 years, 5 months ago

Summertime sadness: Resurgent coronavirus dims economic recovery hopes

Live Mint  

The virus is the summer house guest from hell. If you add that all up together it’s not a pretty picture.” At the same time, as governments face new flare-ups and reimpose full or partial lockdowns, the prospects for a brisk global economic rebound later in the year have dimmed, according to economists and executives. While the virus-stricken world is …

Fed says US economic recovery will be closely linked to course of coronavirus
4 years, 5 months ago

Fed says US economic recovery will be closely linked to course of coronavirus

The Independent  

Sign up for the daily Inside Washington email for exclusive US coverage and analysis sent to your inbox Get our free Inside Washington email Get our free Inside Washington email SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The fate of the US economy is “deeply and significantly” …

Coronavirus Outbreak in Hard-hit US States May Be Peaking Now, Warns Top Health Official
4 years, 5 months ago

Coronavirus Outbreak in Hard-hit US States May Be Peaking Now, Warns Top Health Official

News 18  

A coronavirus surge in Florida, California and a handful of other hard-hit states could be peaking while other parts of the country may be on the cusp of growing outbreaks, the top U.S. infectious diseases official said on Tuesday. “They may be cresting and coming back down,” Dr. Anthony Fauci, head of the U.S. National Institute of Allergy and Infectious …

China's economy in good shape despite COVID-19
4 years, 5 months ago

China's economy in good shape despite COVID-19

China Daily  

Passengers take photos of the Shanghai-Suzhou-Nantong Yangtze River Bridge on a train from Shanghai to Nantong as both the bridge and the Shanghai-Suzhou-Nantong Railway opened on July 1. China's economy is running in relatively good shape despite the impact from the COVID-19 outbreak, reporting better-than-expected second quarter growth, the country's top economic regulator said on Friday. Yan Pengcheng, director of …

China's economy in good shape despite COVID-19
4 years, 5 months ago

China's economy in good shape despite COVID-19

China Daily  

Passengers take photos of the Shanghai-Suzhou-Nantong Yangtze River Bridge on a train from Shanghai to Nantong as both the bridge and the Shanghai-Suzhou-Nantong Railway opened on July 1. China's economy is running in relatively good shape despite the impact from the COVID-19 outbreak, reporting better-than-expected second quarter growth, the country's top economic regulator said on Friday. Yan Pengcheng, director of …

Rising coronavirus infections threaten US economic recovery
4 years, 5 months ago

Rising coronavirus infections threaten US economic recovery

Associated Press  

BALTIMORE — Rising coronavirus infections across dozens of states are threatening the U.S. economic recovery, forcing businesses and consumers to freeze spending and keeping the unemployment rate stubbornly high. A separate report showed that more than a million Americans sought unemployment benefits last week – a sign that companies continue to cut jobs as the virus slashes through the heavily …

Why the coronavirus crisis is another cruel economic setback for millennials
4 years, 6 months ago

Why the coronavirus crisis is another cruel economic setback for millennials

LA Times  

Nick Andersen packed up his life in Charleston, S.C., and headed south for a new job and a new start. For the last 50 years, politics ended up protecting the privileges enjoyed by “insiders.” “It’s the young who have borne the brunt of that, even before this current crisis.” Low-wage scars Definitions vary, but Pew Research considers anyone born between …

Fed officials suggest U.S. recovery may be stalling
4 years, 6 months ago

Fed officials suggest U.S. recovery may be stalling

Daily Mail  

A number of officials from the Federal Reserve have said the US economic recovery is in danger of stalling due to a recent spike in coronavirus cases in several states. Atlanta Federal Reserve Bank President Raphael Bostic, whose district covers some of the regions hit hardest by the current outbreaks - including Florida - said high-frequency data has shown a …

Victoria's coronavirus lockdown won't help an economy that's being held hostage by a pandemic
4 years, 6 months ago

Victoria's coronavirus lockdown won't help an economy that's being held hostage by a pandemic

ABC  

The fate of the economy, at least as far as the eye can see, has been resting on how well the authorities can control the spread of coronavirus. He says the current unemployment rate is actually more like 11.5 per cent, despite Australian Bureau of Statistics figures showing the "headline" rate is a fraction over 7 per cent. "I think …

Wall Street dips as virus fears drown out economy hopes
4 years, 6 months ago

Wall Street dips as virus fears drown out economy hopes

Associated Press  

NEW YORK — Wall Street careened through all the forces that have pushed and pulled it through the week, at first rising on Friday amid hope for the economy and then falling on worries about worsening coronavirus levels in some states, all before ending with modest losses. Also exacerbating volatility was Friday’s simultaneous expiration of contracts for stock options and …

Powell warns that long downturn would mean severe damage
4 years, 6 months ago

Powell warns that long downturn would mean severe damage

Associated Press  

WASHINGTON — Federal Reserve Chairman Jerome Powell warned Tuesday that the U.S. economy faces a deep downturn with “significant uncertainty” about the timing and strength of a recovery. “These businesses are the heart of our economy and often embody the work of generations.” Several Democratic senators used their questions to Powell to press for a new congressional rescue bill that …

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