The Chairman of the Federal Reserve has issued a grim warning regarding the impact of the coronavirus pandemic on the US economy.
According to Jerome Powell, the unemployment rate could easily peak at 25%.
Additionally, the economic numbers for the June quarter are bound to be ‘very very bad, as the GDP contraction estimates could be ‘easily be in the twenties or thirties.’
Powell also expects many people to continue losing their jobs in May and June and he cautioned that ‘we won’t get back to where we were by the end of the year. That’s unlikely to happen.’
With other countries, including Japan sliding into the worst recession in years, do you think that the world is facing a bleak economic future?
Xi Jinping Set To Address The World Health Assembly
Chinese President Xi Jinping is set to address the World Health Assembly even as the calls for investigations into China’s role in the COVID-19 pandemic increase.
According to a Chinese foreign affairs spokesman, Jinping will give a speech at the assembly’s opening session.
The address comes at the invitation of the Tedros Adhanom Ghebreyesus, the director-general of the WHO.
Like many meetings in the COVID-19 era, Jinping will address the assembly via video link.
Now, Beijing has blocked Taiwan’s representatives from being part of the meeting in the past, arguing that Taiwan is part of China.
But the United States and other member nations have called for Taiwan to have delegates at the meeting; do you think China will agree?
Top Trump Adviser Criticizes The CDCs Approach To COVID-19 Pandemic
With the blame game regarding the country’s approach to the coronavirus escalating, a top aide to President Trump has thrown his hat in the ring.
Peter Navarro, the White House trade advisor, has criticized the Centers for Disease Control and Prevention for its response to the pandemic.
With the tension between the CDC and the White House spilling out into public view, Navarro’s comments show just how low the CDC has fallen out of favor with the Trump Administration.
The CDC has always played a significant role in any public health crisis in the US.
However, recently, the administration has sidelined the agency and its draft guidance for reopening of the country withheld by the White House.
Without the CDCs input, localities and states have been left to fend for themselves.
Do you think the decision to keep the CDC out of the loop is a wise move?
China States It Is Too Early To Immediately Commence a Covid-19 Probe
Condemnation against China over its role in the COVID-19 pandemic has been coming in thick and fast.
Many countries, including the United States, have been calling for an independent investigation over China’s role in the pandemic.
In response, the Chinese Foreign Ministry has stated that an immediate launching of investigations would be premature.
According to the ministry’s spokesperson Zhao Lijian, most countries believe that the crisis is not yet over.
The Chinese president is expected to address the World Health Assembly later on Monday via video speech.
Is China sincere that it will cooperate with investigators over its role in the pandemic after the crisis is over?
Or does the country has something to hide, and it is just buying time?
Fed Chief Warns Against Writing Off America
The chairman of the US Federal Reserve has come out strongly and warned that America might be down, but not out.
While admitting that the economy is experiencing an unprecedented recession, Jerome Powell said ‘you don’t want to bet against America’s economy.’
Businesses have ground to a halt, massive layoffs have led over 30 million Americans to file for unemployment benefits, and the unemployment rate has hit never-seen-before levels.
Still, Powell believes that ‘this economy will recover. And that means people will go back to work. Unemployment will get back down. We’ll get through this.’
He continued to say, ‘But I would just say this. In the long run, and even in the medium run, you wouldn’t want to bet against the American economy.’
Quite an optimistic perspective, don’t you think so?