Topic: Pandemic pushed the US into recession- now official , analysis - page 2. (Read 376 times)

 We all know that if America is in a recession it will affect all of the countries around it and it sucks. Even though cases are declining, vaccines have yet to arrive, meaning people are still going to work and consume in fear. This in particular affects the US economic candle very much.
But the important thing is that people are investing so much in the US stock market, will the sharks foresee a recession will not come this year? What do you think about this ?
P / s: I am really wondering about holding coins so I want to know what the opinion of the crowd is. Many thanks for reply me.

I understand that a lot of trump voters will find a way to defend him but that is the trouble with republicans when you compare them to democrats and that is why republican party voters should change their mindset to begin with. Obama was a democrat and democrats criticized him as well, Clinton was a democrat and he was told many things as well from democratic party, hell Bernie has been one of the greatest candidates in recent memory and they all worked hard to not nominate him and found whoever they could just to keep him not nominated.

Democrats hate Trump and that is logical but if you think they are in love with their own candidate you are very wrong, republicans however worship Trump and when you put these two information together, you are going to have a dictatorial horrible sinking nation.

I can't ignore the fact that in some countries USD is really skyrocketing despite the fact that every article indicates how bad USD will end up. Still, people in some countries stick with USD very much. For example, in Republic Of Georgia, their national currency is falling seriously and USD rises despite the fact that National Bank sold solid amount of reserves even in current situation. Looks and sounds very curious for me.

In this country people love USD so much that even if it falls worldwide, they'll still stick with it I guess.
Situation is going worse, I wouldn't say that benefits outweight the cons because we didn't see any benefit, people are still infected and this number rises, it's impossible to control it and 3 months stop of economics ruined everything.

Of course, but it's also pretty weird for that statistic to be included in the list as it's one of the few indicators that is looking good.
Just read the other days that the unemployment rate went again down to 8.4%, of course not a great number, not really showing all the picture as a better indicator would be the number of people having jobs, but it's still better than nothing.


And when the weak dollar helps the economy with the economy growing the dollar also starts to increase in value and we're back to square one as there is no direct trajectory for this, you can't have booming manufacturing and exports with an increasing currency forever.
What you can have, is a weak currency and a totally shitty economy that isn't producing anything!

As for the euro, I wouldn't read to much into the latest movement.
In 2017 one euro was at the lowest worth 1.04 usd, then in 2018 1.25 and now it's hovering between 1.18 and 1.15, probably more the effect of enthusiasm that  EU is safe from the virus, enthusiasm that is coming to bite us in the a...I've one said, if the US has 10 times more cases, there is also a positive, there are fewer persons who could become sick in the future, here we have avoided that...till now. If Europe returns not to permanent lockdown but at least to reimposing the shutdowns of tourism and pubs and malls we're going back to 1E=1$ in a month.


You're talking about two islands with 4 million people in the middle of nowhere, with 10 times fewer visitors per year than Las Vegas.
Things that work don't always scale.

The economic crisis is a direct result of the pandemic, so a recovery would be dependent on how quickly life can safely return to normal, with businesses opening back up to stimulate the economy.
New Zealand could be used as an ongoing case study on how a recovery process would be in other nations. The country responded quickly and efficiently to the outbreak and were able to adequately contain it with minimal cases and deaths, this strict measures however resulted in an national recession - New Zealand plunges into recession as economy shrinks record 12pc - the next phase would be rebuilding.
How the economy would react would give an idea of how recoveries would happen in other nations.

This pessimism could have an adverse effect on an economic recovery. If majority of the populace fear a possible economic downturn or relapse, it could result in panic, affecting SME and macroeconomic indicators, regardless of the growth in gross output statistics.

USD lost a lot toward euro in the last few months. That makes USA exporting into Europe cheaper. And importing from Europe more expensive. That should at last on short term help USA economy a bit. Question is where will price move now. Will be dollar get even cheaper or will start gaining strength back.

I think you mean unemployment rates there, because we're certainly not at 90% unemployment.

Personally, I don't think it will.  The economy was going strong before COVID-19 hit, and that was reflected in the stock market.  The pandemic happened and there was a panic; people lost their jobs, either temporarily or permanently; and the stock market took a beating (and so did bitcoin, btw).

Right now the S&P 500 is picking up right where it got knocked down from when the pandemic started, and I'm noticing restaurants opening back up and people are definitely not keeping to the social distancing guidelines anymore, and many people aren't even wearing masks.  I think a lot of US citizens are waking up to the reality that this thing is nowhere near as bad as what everyone thought in the beginning.

The money-printing and interest rate stuff might have a serious effect on the economy, however.  I just have no idea when we're going to start seeing that effect.

But the US President predicts "SUPER V" economic recovery
So you guys don't have to worry about recession as it's only for a brief period.

I think that the US economy is currently in a recession as the term recession suggests that two consecutive quarters of negative growth are needed to be in one. Q1 of 2020 was down by 5% and Q2 by 32.9%.

But all data are very bad and perhaps it will take at least two years of fixing problems to recover (meaning to reach the same GDP level before recession).

I read numerous articles since the wake of pandemic , articles where people stated how US is excessively printing money , how it's all a bubble and Burst one day. On June 8,2020
The US declared that they are in recession- officially
https://www.bbc.com/news/business-52972901
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The author states how it can very easily fall into a more claustrophobic event , causing depression. Now we are approximately 3 months away from the official declaration of the recession , let us examine if it indeed is improving or going down.
-Fed is backing up the economy by trying to put zero interest rates
-US budget deficit is now 3 trillion $
-employment rates are falling down below 10%.
-President is trying to solve some of the problems here but unfortunately the situation is far more problematic.
-People are betting on dollar collapsing

What do you guys think will happen to the US ? Will the recession continue to worsen ?

( That aside there are countries which are in worse condition as compared to US and do need more exposure and education, but most of these countries are holding US stocks so if the US market falls they will have considerable problems )