General Charles “CQ” Brown has done it…. He is the first African American US Air Force chief of staff, and the first African American to lead a military branch in the United States. Nominated by President Trump in March 2020. He is second African American to join the US Joint Chiefs of Staff (after former Sec. of State General Colin Powell). He was confirmed by the Senate with a 98-0 vote, on June 9, 2020 (Wednesday).
General Brown has decorated accomplishments to him. He is a 4 star general; and until recently he lead the Air Force in the pacific. General Brown started his career in the Air Force in 1984, as F-16 fighter pilot and instructor. He served in duties around the globe particularly in Europe, Asia and the Middle East. -SB
1) This last April, the government offered $349 billion dollars to small businesses, in their stimulates package called the Paycheck Protection Program or PPP, as a way of limiting the economic damaged from the shutdown orders and pandemic. This money was gone in just 13 days, so Congress approved a second round of $310 billion dollars, but so far there is $130 billion dollars left with more monies being returned than borrowed. Thousands of companies sent loan money back because loan terms were too restrictive, or the criteria for loan forgiveness was too murky. There has been about $3 billion dollars in loans that have been canceled or returned. Congress has moved to loosen the program’s rules giving businesses more flexibility in spending their aid. Nevertheless, many small businesses are facing closure amid the uncertainty of the economy and what the future holds.
2) America is on track for another 2008 class financial crisis with threats of financial collapse. The 2008 crisis forced banks to rethink their risk taking, and new regulations were put through designed to limit the risk that banks take in making loans. Already facing a prolong recession, the balance sheets of big banks could precipitate a collapsed of the financial sector, as almost happened in 2008. The last crisis was caused by CDO (Collateralized Debt Obligations) where sub-prime home mortgages were packaged and given ratings of high quality mortgages. When these over-rated CDOs began to default, the banks were on the verge of collapse, but the feds stepped in and saved the day . . . just barely. The banks have fallen back into their old habits now by using CLO (Collateralized Loan Obligations) which are like CDOs, however they are for businesses instead of home mortgages, but still having the high risk. With the threat of many small businesses failing from the coronavirus crisis, these CLOs could default causing the big banks to collapse, bringing the American economy down.
3) A record number of retail stores are expected to permanently close this year as consumer demand for discretionary items stalls and people shift to online shopping. As many as 25,000 retail stores could fold up, with more than 4,000 having all ready given up the ghost. It is anticipated the closures will snowball from the recession, adding to the effects of unsustainable debt levels. The retailers were struggling to stay afloat before the pandemic struck.
4) Stock market closings for – 10 JUN 10:
Dow 26,989.99 down 282.31 Nasdaq 10,020.35 up 66.59 S&P 500 3,190.14 down 17.04