At the end of a two-day meeting of its monetary committee, the federal Reserve confirmed its intention to maintain near zero the main interest rate until the end of the year 2022. “The committee expects to maintain its rate target until he has confidence in the fact that the economy will overcome the recent events and is on the path to achieve its employment targets, maximum and price stability.”
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The central bank of the United States can hardly do otherwise, given the further drop in inflation and the brutal recession that hit the country since February.
The us Treasury secretary, Steven Mnuchin, his side shows his optimism. He predicts that the economic statistics coming “will show that we are well positioned for a re-opening strong and progressive”. Steven Mnuchin anticipates “a dramatic improvement” in the third and in the fourth quarter, a view shared by many on Wall Street.
An unemployment rate of 9.3% in 2020, 6.5%, 2021
To the extent, the secretary of the Treasury determines that a third package of direct aid to individuals and enterprises, including payments in cash, but also incentives to return to work, will be necessary.
This last point, dear to the republicans, was also underscored on Wednesday by Larry Kudlow, the economic adviser to the president Trump. The first two packages, adopted unanimously in march and April already represents more than 12 % of the GDP of the United States.
see also : U.s.: the Fed grows to be even more of public spending
According to the new estimates of the Fed, the gross domestic product of the United States will decline this year from 6.5 %, as a result of the pandemic Covid-19, but the u.s. economy is expected to rebound by 5 % next year. The central bank table in addition to an unemployment rate of 9.3% in 2020 and 6.5% next year, while America knew the full-employment prior to the pandemic.
The editorial team conseilleDonald Trump press more to open the economy américaineLa White House and the Fed are making aid massive for entreprisesL’America mobilizes 2000 billions of dollars to guard the dépressionSujetsEtats-UnisFedRéserve fédéraleCriseCoronavirus3 commentairesefbele 10/06/2020 23:41
The OECD is less optimistic
growth 2020: -7.3%
growth 2021: 4.1%
…
The deficit more than 15% !
Hérétiquele 10/06/2020 23:18
A bad decision from the Fed to the detriment of the savings of the small savers.
jean jean 21 10/06/2020 23:09
C is not a good sign for trump
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