11/28/2020Experts call the correction of bitcoin healthy and necessary before the rise to $ 86,000

1. The economic recession accompanying the Coronavirus epidemic

The economic recession accompanying the Coronavirus epidemic

The economic recession accompanying the Coronavirus epidemic

"CNBC" published a lengthy report on the economic recession associated with the Coronavirus epidemic, in which it revealed the current extent of the impact, and to what level it may reach, which this report revealed:

The current trends in stocks, housing, and retail do not reflect the recession associated with the Coronavirus pandemic, but this is not an ordinary recession, and there are some other things that will stand out such as how quickly will this happen? How did policymakers respond to the matter?

Some economic experts believe that a true recession has not yet appeared, and it will happen when the long-term repercussions of the current situation are felt, and the era of the Coronavirus Covid-19 pandemic sets new standards for what an economic downturn looks like.

Remarkably, unemployment remains high, with the current level of 10.2% still higher than anything the United States has experienced since the Great Depression, and daily life has been disrupted to an unprecedented degree as restaurants are still limited, stores have to control crowds, and concerts have disappeared. Festivals have a lot of summer life.

Retail sales rose 1.2% in July and 1.9% stronger excluding cars, as the gauge showed an actual V-shaped recovery since the March-April crash; As before existing home sales, productivity reached an 11-year high in the second quarter, and the Atlanta Federal Reserve tracks third-quarter GDP growth of 26.2%, an estimate that rose by 5.7% for the past week alone.

The National Bureau of Economic Research, which is the official arbiter of recessions, said that the current recession began in February, and GDP fell by 5% in the first quarter and 32.9% in the second quarter.

In fact, within weeks Congress passed a $ 2.3 trillion bailout financing bill, the Federal Reserve slashed short-term interest rates to near zero, while issuing nearly a dozen lending and liquidity programs, and as a result, the technical end of the recession may have passed. Indeed.

But this does not mean that conditions still will not feel that the nation is stuck in a recession, as it did even after the Great Recession officially ended in mid-2009.