The Trump Administration is discussing another stimulus package with lawmakers that could be passed in July, the latest effort to revive the US economy because the C-19 coronavirus chaos.
The federal government is likely to pass at least one more fiscal relief package, according to a note early Wednesday from Goldman Sachs. The package is to include additional aid to state governments, more funding for small businesses, expanded unemployment benefits and another round of direct payments to individuals.
“It’s something we’re very seriously considering,” Secretary Mnuchin said Tuesday in an interview. He said he expects the US economy to exit recession by year’s end.
President Trump said he is considering sending another round of economic aid/stimulus payments in a rescue package that he expects will be released “over the next couple of weeks.”
Stocks rose Tuesday optimism for more stimulus.
The Trump Administration has privately discussed a $1-T measure as a way to stimulate jobs growth after the C-19 coronavirus chaos.
Secretary Mnuchin reiterated that he and the President are not inclined to shut down the economy a 2nd time if there is a resurgence in China Virus cases. He noted that in March when businesses were ordered to close, hospitals had been overwhelmed with patients and ventilators were running low. That is not the case now, nor do we expect it to be again.
“Right now we’re in a different situation,” Secretary Mnuchin said. The shutdown in March and April left more than 40-M Americans out of work.
On Tuesday, Secretary Mnuchin met with Republican Senators, who are considering whether the next stimulus measure should include another round of direct payments to individual households.
“We want to take our time and make sure we are thoughtful,” Secretary Mnuchin said after meeting with the lawmakers. “Whatever we do will be much more targeted and much more focused on jobs and bringing back jobs.”
At the center of the debate is whether to send a 2nd round of payments to low and middle income individuals to help bolster household budgets that have suffered and caused mortgage delinquencies to reach their highest marks in 10 yrs. President Trump has signaled approval for the idea.
The Senate has not yet begun serious negotiations on another stimulus bill, but those talks are expected to begin in mid-July.
Have a healthy day, Keep the Faith!