It is the largest economic bailout in the history of the United States. The American Senate and the White House agreed, on the night of Tuesday March 24 to Wednesday March 25, on a plan of 2,000 billion dollars (1,847 billion euros) to help the country's economy to weather the recession and weather the shock of the coronavirus epidemic. Tuesday evening, the United States counted 701 deaths and more than 55,000 officially declared cases of Covid-19. This rapidly increasing toll has brought down large parts of the US economy.
The bailout plan provides loan guarantees to struggling businesses, direct aid to the poorest households, higher unemployment insurance benefits and extensive coverage to avoid mass layoffs. "He will quickly send new resources to the front lines of the health battle waged by our country. And it will inject trillion dollars of cash into the economy as quickly as possible to help working American families, small businesses and industries weather the turmoil, " Republican Senator Mitch McConnell said in the chamber, calling the plan a "Investment worthy of a time of war". The US Treasury will pay $ 1,200 to each adult and $ 500 to each child. Unemployed workers and self-employed workers will receive "On average their entire salary for four months", detailed Chuck Schumer, the leader of the Democratic minority in the Senate.
Scholarships resume colors
Expected since Friday, the announcement jumped the place of Tokyo which closed up 8%, confirming the renewed optimism of investors after several weeks of decline. The Wall Street Stock Exchange's Dow Jones Index on Tuesday posted its largest gain in 90 years. The Paris Stock Exchange opened up more than 2% on Wednesday morning, as did that of Frankfurt, which gained almost 3% in a few minutes. "The stock markets are boosted by unprecedented budgetary and monetary support" to counter the economic ravages of the coronavirus, analyzes Ipek Ozkardeskaya, analyst at Swissquote Bank.
The bailout was the subject of intense negotiations between Republicans, Democrats and the White House. Scalded by the profits deemed indecent which a number of economic players have withdrawn from the bailout of the 2008 crisis, the Democratic opposition demanded from the Trump administration increased supervision of the bailout, amounting to $ 500 billion, companies in difficulty. The Democrats also called for more aid for American households, as well as more unemployment benefits.