Daily US Times: President Donald Trump and the Senate have agreed on a massive economic relief deal worth more than $1.8 trillion, what Senate Majority leader Mitch McConnell described as a “wartime level of investment” in the economy.
The package includes money to bail out industries that have been affected by the coronavirus outbreak.
In anticipation of a deal, markets surged in the US on Tuesday and shares rose in Europe and Asia on Wednesday.
On Wall Street, the Dow Jones jumped by 11.4% on Tuesday – its biggest one-day gain since the Great Depression.
On Wednesday, following the news of the relief deal, Japan’s benchmark Nikkei 225 index closed 8% higher.
Europe’s markets were also trading higher, with London’s FTSE 100 index up 3.5%.
The full details of the deal are not published yet, but it is expected that the bill contains expand unemployment assistance by $250bn and get $350bn in emergency loans to small firms.
Mr. McConnel said hospitals and other healthcare providers who were having difficulty getting equipment would get money and it would also “stabilise” key industrial sectors.
“We’re going to pass this legislation later today,” Mr. McConnell added.
Senate Democratic Leader Chuck Schumer described the deal worth of trillions it as “the largest rescue package in American history”, adding that it was a “Marshall Plan” for hospitals.
“Help is on the way, big help and quick help.”
The President said on Thursday that he wanted to get the economy up and running again by Easter.
He consulted with the Coronavirus Taskforce about when to open the businesses. Trump hopes it will be possible to open at least some sections of the country by the Easter weekend -12 April.
“It’s good news, but we’re not out of the woods yet,” said Tom Stevenson, investment director at fund manager Fidelity International.
“When markets are falling, you get these big rallies but you shouldn’t get stuck on that. They do bounce around in these situations.”
The latest swing in share prices continues a time when markets react wildly to the impact of coronavirus pandemic.
Meanwhile, The World Health Organization warns on Tuesday that the United States could be the next global virus epicenter of coronavirus pandemic. Meanwhile, India, the world’s second-most populous country goes quiet as 1.3 billion people told to stay home.
WHO said the case numbers in the US are rising quickly even Donald Trump talked of reopening the country for business.
A WHO spokeswoman Margaret Harris said: “We are now seeing a very large acceleration in cases in the US. So it does have that potential [to become the center of the pandemic].”
As of noon, Wednesday, confirmed coronavirus cases around the world exceeded 422,989 across 194 countries and territories, according to a John Hopkins University tally, 18,916 of them fatal.
US President Donald Trump Senate nearing a deal on $1.8 trillion coronavirus stimulus package
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