1) Because of the very rapid spreading of the new coronavirus variant, England will enter its toughest nationwide lock down since March. For at least six weeks schools will be closed and people can leave home only once a day for exercise. Because of the number of people in hospitals reaching a new height the British threat level has been raised to its highest level of 5. People must now only leave home for work, if it is impossible to work from home, and for essential food and medicine. School study will be online until mid-February. All non-essential retail and hospitality businesses are closed, but restaurants and other premises will continue delivery of takeaway food but not alcohol. Places of worship can remain open, including communal worship, subject to social distancing.
2) The first stimulus payments from new the coronavirus relief bill are now on the way. However, the aid won’t suffice for many. The $300 check additions to unemployment are half the amount of the old Federal Pandemic Unemployment Compensation pay outs, which lapsed in late July. Since then, aid recipients have been getting by on state unemployment assistance, which can pay less than the minimum wage when calculated on an hourly basis. But workers will receive just over a third of last spring’s CARES package, which paid out $600 per week for four months compared to $300 for 11 weeks now.
3) Google workers have formed their first-ever union, a rare step for the tech industry that also represents the biggest and most organized challenge yet to the company’s executive leadership. This is the first union at a major tech company and it’s for and by all tech workers. So far, 226 workers have signed union cards with the Communications Workers of America (CWA), one of the country’s largest labor unions. While the pandemic made it more challenging to hold those meetings face-to-face, the shift to remote work, in some ways, made it easier to organize. The workers could theoretically mount a strike, though that would be a challenge and there are no current plans to do so. The union’s formation comes after years of rising employee tensions over the company’s business and operational decisions, such as work with the defense sector, plans for a censored search engine in China, and the company’s handling of sexual misconduct claims.
4) Stock market closings for – 4 JAN 21
Dow 30,223.89 down by 382.59 Nasdaq 12,698.45 down by 189.83 S&P 500 3,700.65 down by 55.42
Eureka!!!!!! Finally a resolution for the stimulus package to be garnered to the American people and American struggling small businesses; in the United States. The stimulus package reached by the Republican & Democrat Senate & House leadership; will have a full vote by the US Senate & House of Reps on Monday, December 21, 2020.
The $900 billion price tag leaves out state aid, that governors and mayors across party lines have indicated they desperately need, to revive their local economies. Local officials will have to figure out ways to attribute their fiscal budget without the aid support being provided by the federal government.
The stimulus deal was reached late Sunday night December 20, 2020 by both Republicans and Democrats. It had been in negotiations for months, as Democrats and Republicans had been jostling for superiority on what should be included for the second wave of stimulus checks to the American people and American small businesses. The package aid was desperately needed because of the collapse of the economy, caused by the coronavirus pandemic. -SB
1) To aid in economic recovery, President Trump is calling for a $2 trillion dollar spending plan to update the country’s infrastructure. Monies would be used to update the country’s roads, bridges and other parts of the physical infrastructure. This would be part of Phase 4 response to the coronavirus crisis. The President said that with interest rates at zero, this is the ideal time to address our declining infrastructure.
2) There are growing fears of the devastation that the coronavirus has and continues to wrought on America’s economy. Layoffs are coming faster than unemployment offices can accommodate, increasing fears about making mortgage and loan payments, malls and shopping centers devoid of people with only the essential commerce. Economist are now forecasting a real GDP growth of negative 9% for the first quarter and minus 34% for the second. There is expected to be 4.5 million filings for jobless benefits this week, which will be the highest in history. While there are hopes for a quick turn around, the damage may be too great to quickly return to the economic boom prior to the virus.
3) Founders of the European Union (EU) have always feared that Italy’s proliferate borrowing would ultimately become the EU’s problem. Now with Italy’s coronavirus problems, the country is having to borrow again to care for its people, in turn pushing up its debt to dangerous levels which the EU will have to cover. This is made doubly critical with other EU member’s economies shaken by the shutdowns from the virus. Presently, Italy’s debt level is approaching 150% of its gross domestic product and may well surpass that.
4) Stock market closings for – 31 MAR 20:
Dow 21,917.16 down 410.32 Nasdaq 7,700.10 down 74.05 S&P 500 2,584.59 down 42.06
1) Oil prices dropped liked a brick in its worst day of trading in 2019, the result of jitters over trade with China. The price of oil serves as a barometer to the world economic outlook, with a slowing of the world economy translating into a lesser demand for oil and therefore lower oil prices. The situation is aggravated by a surprise jump in American crude stockpile, with inventories up by 4.7 million barrels. The stock market reflected the world economic situation by massive drops too.
2) Panasonic electronics is joining a growing list of firms distancing themselves from Huawei, by stopping their supplying of some electronic parts to Huawei. Companies are declining to do business with Huawei because of warnings from U.S. intelligence that Huawei presences a security risk with their new 5G technology, which will allow the Chinese military to use smart phones to gather foreign intelligence.
3) President Trump announced $16 billion dollars in farm aid to offset the losses by farmers in the ten month long trade war. Distribution of aid payments will be based on where they farm rather than what crops they till. Farmers were a key constituency that help bring victory to President Trump, and they have been the hardest hit from the trade wars with China. China used to import 60% of U.S. soy bean production.
4) 23 May 19 Stock market closings: Dow tumbles 400 points as trade war worries continue.
Dow 25,490.47 down 286.14 Nasdaq 7,628.28 down 122.56 S&P 500 2,822.24 down 34.03