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  • The Fed expects the economy to fall 6.5% and unemployment to rise to 9.3%

The euphoria of the past few weeks on the stock markets has given way to hangovers and sales in recent days. It is the keynote of the markets in the process of reopening the economy. The trends, unlike the coronavirus, come so as not to stay long, and after the recovery of previous sessions, the losses are imposed in the latter. The main reason today Thursday comes from the United States, where the Federal Reserve (Fed) announced yesterday that it plans to keep rates at 0% until at least 2022.

The US central bank stressed that it is "committed" to using the full range of tools at its disposal to support the US economy with the objective of achieving price stability and full employment.

In addition, it updated its forecasts for the coming years. Specifically, the Fed considers that the GDP of the United States will collapse 6.5% in 2020, compared to the December forecast of growing 2%, while it will grow again in 2021 (+ 5%) and in 2022 ( + 3.5%). Regarding unemployment, the entity predicts that the rate will shoot up to 9.3% this year, to drop to 6.5% the following year and 5.5% in 2022.

The monetary policy message transfers the Fed's commitment to the country's economic recovery, but also the severity of the impact that the pandemic is having and this, which initially came to the background among investors on Wall Street, is marking the spirit from early in the morning in the European squares.

In addition to this situation, we must add the evolution of the coronavirus in the United States, where it has already reached two million infections. There is even talk of a second outbreak in regions such as Texas or California, states in which the number of hospitalizations reached levels recorded at the beginning of the pandemic. The fear of regrowth also extends to Europe.

The Ibex 35 leaves more than 2.7% at the edge of the half session and moves away from 7,500 points with all its values ​​in negative. The situation is similar among the large selectives in the region: Cac 40 in Paris and Dax in Frankfurt lose more than 2.1%; the FTSE 100 in London, 2% and the FTSE MIB Italy is approaching the decline of 3%.

In Spain, tourism and banks are again the protagonists of the biggest decreases. The airline conglomerate IAG falls 6.5%, ahead of Acerinox (-5.12%), Santander (-4.85%), ACS (-4.82%), Meliá (-4.73%) and Sabadell (-4.3%).

In the oil market , the barrel of West Texas Intermediate (WTI), benchmark for the United States, is trading at $ 38.35, while Brent crude, benchmark for Europe, is $ 40.54.

For its part, the Spanish risk premium stands at 101 basis points, with the interest demanded on the ten-year bond at 0.621%, while the price of the euro against the dollar stood at 1.1384 green notes .

In accordance with the criteria of The Trust Project

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