ADVERTISEMENT

U.S. Aid Plan, N.Z. Turns to QE, China Set to Rebound: Eco Day

U.S. Aid Plan, N.Z. Turns to QE, China Set to Rebound: Eco Day

(Bloomberg) -- Welcome to Monday, Asia. Here’s the latest news and analysis from Bloomberg Economics to help you start the week:

  • The U.S. Congress could hand the Treasury at least $425 billion to backstop potentially much larger support by the Fed for business and states as part of an economic aid package
  • New Zealand’s central bank has taken the historic leap to quantitative easing to try to limit a looming recession as the economic impacts of the coronavirus outbreak intensify
  • China’s government is talking up the prospects for a rapid economic rebound from the coronavirus, even as the global economy sees further lockdowns to curb its spread
  • St. Louis Fed chief Bullard predicted U.S. unemployment may hit 30% in the second quarter because of coronavirus shutdowns, with an unprecedented 50% drop in GDP
  • The U.S. is entering a recession. The ultimate fear is that could turn into a protracted malaise that has some flavor of a depression
  • The global rush for dollars has showcased a missing piece of financial-safety architecture that world policy makers never addressed in the aftermath of the 2008 crisis
  • India’s move to lock down much of the country may not be enough to soften the impact of the coronavirus as thousands thronged key train stations to head to their villages, risking the infection’s spread to the nation’s vast hinterland
  • Just when investors thought the global bond rout was calming, the epicenter of chaos shifted to Australia as its market went into meltdown on March 19 upon the announcement of a quantitative easing program
  • Economies around the world will start to get a sense of the damage wrought by the coronavirus this week, as global central banks and governments continue their running battle to allay market fears over the scale of their responses
  • Germany may borrow up to 350 billion euros ($370 billion) in an unprecedented push to soften the biggest output contraction in more than a decade. Meanwhile, Chancellor Merkel is in quarantine after contact with a doctor who has since tested positive for the virus
  • Elsewhere, warming oceans may force the tuna industry to address sustainability plans to protect fish

©2020 Bloomberg L.P.