US economic recovery | Trump ready for action, his pessimistic Treasury secretary

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(Washington) Donald Trump said Thursday he was ready to make a move to unblock, before the presidential election on November 3, negotiations on a new plan to support the US economy, while claims for unemployment benefits have reached a high since August.






Julie CHABANAS
France Media Agency

When asked on Fox Business on whether he could go beyond the $ 1.8 trillion put on the table by his administration to boost the economy, White House tenant no. did not hesitate.

“I would, I absolutely would; I would put more; I would go higher, ”he replied, when he was clearly ahead in the polls by Democrat Joe Biden three weeks before the presidential election of November 3 during which he is running for a second term.

Negotiations between the federal Republican government and the Democratic opposition on a new plan to support the economy are at an impasse and it is more than unlikely that an agreement will be reached before the election as the positions between the two camps are “very distant” on a lot of issues, repeated Thursday Steven Mnuchin, Secretary of the Treasury.

“An agreement will be difficult to get before the election, but we are trying hard. So I don’t mean to say it’s impossible, ”added Mr. Mnuchin, who is negotiating for the White House. “What we need now is a focused and sensible approach.”

After multiple about-faces, the White House wants targeted measures, such as actions for SMEs or aid for airlines. But Democrats, led by House of Representatives Nancy Pelosi, want a larger package valued at $ 2.2 trillion.

The Senate, controlled by the Republicans, plans to vote soon on a one-off measure to help SMEs.

In addition to the envelope, the two camps oppose the aid that would go to States to support them in their fight against the COVID-19 epidemic and its consequences on public services, such as schools.

Gloomy economic picture

Economic support is deemed necessary by economists as the signals are scarcely reassuring.

About 898,000 people were unemployed last week, the highest since August. While 10 million Americans are on unemployment benefit, a total of 25 million are receiving assistance after losing their jobs or seeing their income fall.

As for manufacturing activity, Donald Trump’s hobbyhorse who promised to repatriate the jobs that left for China to the United States, it is developing in contrasting ways.

Growth was indeed moderate in the New York area in October, but rebounded strongly around Philadelphia.

However, the recovery of the manufacturing sector could slow down soon “as the health crisis continues,” analysts at Oxford Economics warned.

This uncertainty plunged the New York Stock Exchange into the red, including the Dow Jones which posted -0.46% at 12:40 p.m.

Federal aid would allow Americans to continue to consume in shops and restaurants and businesses to cope with their cash flow problems and possibly to suspend some plans for massive layoffs, experts argue.

Negotiations between the White House and the Democrats are continuing. M. Mnuchin and Mme Pelosi were scheduled to speak to each other again on Thursday.

Donald Trump has notably rejected responsibility for the deadlock in discussions on Mr.me Pelosi, claiming, without proof, that she had “mental problems and it is very difficult to do anything with her”.

In the home stretch leading to the election, the US president, who prides himself on being the providential man for an ailing economy, needs to present a victory to the voters.

But each side fears that the other will take credit for a package of measures designed to help millions of Americans.







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