The American coronavirus stimulus package that has been circulating the wire is likely to be the largest form of Quantitative Easing we have seen in a lump sum. At this point in time, Democratic and Republican senators have agreed on a 2 trillion-dollar package, but that could be extended to $4.5 trillion. The negotiations on the sum and its use have been the sticking point, unemployment seems to be the largest sticking point of the lot, though, state governors are not exactly positive about it in their comments.

Even though this is the largest stimulus package seen, New York’s Governor Cuomo has been the largest critic; with much of the US-based infections in his state of governorship, with a total of 31,000 infections and a total lockdown on New York state. In New York, more is needed in federal funding, but it is unlikely that the shared funds will be distributed via a percentage of priority to New York, making it more so unlikely that New York will be able to help avert further medical and economic catastrophe.

There has also been rumour of delays to occur. Originally, Tres Sec Mnuchin and President Trump were quoted to have been trying to get funding into American pockets by the end of this week. It is now looking like it won’t happen until May which is naturally problematic especially with rising unemployment numbers, the newest victims of the COVID 19 outbreak.

The Stimulus package really can’t come soon enough at this stage, the US death toll from coronavirus has risen above 1000 and is expected to well and truly surpass this figure. The plan to help those with employment affected by lockdowns is to deliver $1200 to each adult, and $500 to every child within the united states. Small and medium businesses will receive discounted loans and assistance to try and keep the business running or at the very least supported so that they may ride out the lockdowns without running into the red.

The economic fallout out from COVID-19 is likely to continue, we are already seeing decreased revenue and rising unemployment rates with California recording 1m new unemployment claims just in the past week. Tomorrow will be an important day for unemployment news with the unemployment rate set to be updated tomorrow and the following week with Non-Farm Payroll.

I am certainly expecting to see more weakness in the United States Dollar in the coming weeks to be.