Trump backtracked to agree with injecting additional financial aid after the Fed Chair urged more economic support from the government in order to avert “tragic” fallout.
The US President Donald Trump on Oct 7 has made a statement via Twitter that he was already to sign additional coronavirus relief measures including $1,200 stimulus checks for American, along with $25 billion for airline payroll support and $135 billion for paycheck protection program for small business, and urged the House of Representatives and Senate to “IMMEDIATELY Approve”.
Trump‘s move came after the US stock market fell in response to his decision making earlier on his official account that he would reject Nancy Pelosi and Democrat $2.4 trillion stimulus package proposal, but as soon as he “win” the election, he will pass “a major Stimulus Bill”
Meanwhile, the Federal Reserve chair, Jerome H. Powell has warned that the US economy could see “tragic” results without robust government support, saying more stimulus to the economy is necessary.
Powell said deciding to forgo added relief could “lead to a weak recovery, creating unnecessary hardship for households and businesses.”, pointing out that there is “a long way to go.” for economic recovery.