Coronavirus Toll As of March 24, 2020;
Number of Cases Worldwide: 420,997
Mortality Rate: 4.5%
US senators will vote Wednesday on a $ 2 trillion bailout legislation package that the two parties finally agreed on after long negotiations to alleviate the devastating economic impact of the coronavirus pandemic.
Agreement in Washington
President Donald Trump’s team led by Treasury Secretary Steven Mnuchin announced that senior Senate Republicans and Democrats agreed on an unprecedented stimulus scheme early Wednesday after five-day marathon negotiations.
We’re going to pass this legislation later today,” said Senate Republican Majority Leader Mitch McConnell.
The largest economy rescue package in the US history encompasses a $500 billion fund to help industries hit hard by the impact of the virus, $3,000 directly paid to every American family, $350 billion credit to small businesses, $250 billion for extended unemployment benefits, 150 billion for hospitals and related health systems.
The virus has killed 713 people and infected 53 thousand people in the US with more than half of them in the global financial capital, New York.
The agreement between the Republicans, Democrats and the White House on the economic measure package provides breathing room for the stocks going through a depressive time.
As negotiations continued on Tuesday, optimistic statements by Senators led Dow Jones to increase by 2.112.98 points or more than 11%, in its best day yet since 1933. Nasdaq rose 8.1% to 7,417.86 on its best day since March 13.
The US dollar index continued its decline from the peak in recent years, balancing around 101.50.
Liquidity Problem in The Bullion Market
The London Bullion Market Association (LBMA) announced on Tuesday that the price volatility in its gold futures trading on the New York’s Comex stock market hit liquidity in the London market.
London spot gold prices dropped by $70 on Tuesday, as traders continued to be worried about their ability to access gold in London to complete their Comex transactions due to air traffic restrictions and refineries closing.
According to Reuters, LBMA, which oversees the London market, asked the Chicago Mercantile Exchange CME Group, which operates Comex to facilitate physical delivery in New York, and accept London gold bars in US futures deals.