Tag: U.S. economic
U.S. economy shrinks 4.8% in first quarter
The U.S. economy shrank by an annualized 4.8% in the first quarter, the government said on Wednesday.
Why it matters: It’s the biggest quarterly drop in over a decade and shows the beginning of an economic slowdown that’s expected to get worse as the coronavirus roils the economy. Economists are bracing for current quarter figures, with some projecting a record annualized decline of about 40%.
What they’re saying: The coronavirus led to “rapid changes in demand, as businesses and schools switched to remote work or canceled operations, and consumers canceled, restricted or redirected their spending,” the Commerce Department said in a release. Continue reading.
Senate aims to approve more small-business aid on Thursday
Senate leadership is moving quickly to approve additional aid for small businesses, which have been hard-hit by the coronavirus outbreak, after a rocky rollout last week of the program aimed at helping them.
Senate Majority Leader Mitch McConnell (R-Ky.) said on Tuesday that he is working with Treasury Secretary Steven Mnuchin and Senate Minority Leader Charles Schumer (D-N.Y.) to approve additional funding later this week.
“Congress needs to act with speed and total focus to provide more money for this uncontroversial bipartisan program. I will work with Secretary Mnuchin and Leader Schumer and hope to approve further funding for the Paycheck Protection Program by unanimous consent or voice vote during the next scheduled Senate session on Thursday,” McConnell said in a statement. Continue reading.
Pelosi eyes end of April to bring a fourth coronavirus relief bill to the floor
Speaker Nancy Pelosi (D-Calif.) said in a letter to fellow House lawmakers on Saturday that she wants to bring a second stimulus package to the floor by the end of this month to further relieve the American public during the coronavirus pandemic.
“It is my hope that we will craft this legislation and bring it to the floor later this month,” Pelosi said in the letter, according to Bloomberg, adding that American communities “cannot afford to wait.”
Pelosi added that the next stimulus package “must go further in assisting small businesses including farmers, extending and strengthening unemployment benefits and giving families additional direct payments.” Continue reading.
Six in 10 Americans expect a recession and higher prices as Trump’s approval rating slips, Washington Post-ABC News poll finds
President Trump is ending a tumultuous summer with his approval rating slipping back from a July high as Americans express widespread concern about the trade war with China and a majority of voters now expect a recession within the next year, according to a new The poll also shows a schism between Americans’ continued positive ratings of the economy and fears of a downturn, with far more saying Trump’s policies have increased chances of a recession than decreased it.