US Briefing - Tuesday 11.08
Headlines
  • Russia’s Putin: Russia Has Registered First Covid-19 Vaccine
  • US Covid-19 Deaths Drop For The First Time In Four Weeks
  • Hospitals In Some US Hot Spots Finally Get Some Virus Respite
  • Trump, Democrats Open To Restarting Relief Talks Despite Stalemate
  • State Aid Emerges As Major Hurdle To Reviving Covid-19 Talks
  • Trump: I Am 'Seriously' Considering A Capital Gains Tax Cut
  • US's Pompeo: Unlikely That China Will Rethink Hong Kong Stance
  • Mnuchin: China Firms Failing US Accounting Standards To Be Delisted By '22
  • German Aug ZEW Survey Expectations Beat; Current Situation Misses Est.
  • French Covid-19 Hospitalizations On The Rise, A First Since May
  • BoE’s Ramsden: To Step Up QE If Econ Slows Again; No Limit On Buying
  • UK June U/E Rate Beats With 3.9%, July Claims Disappoint With +94.4K
  • China Is Ditching Expensive Brazilian Soybeans For US Supplies
  • SCMP: US Plans To Label Hong Kong Goods As 'Made In China'
  • Turkey Removes Cheaper Funding Even As Erdogan Urges Lower Rates
  • WTI Rallies 1%; Gold Futures Tumble Below The $2000/Oz Handle
  • EU Autos Gain As Chinese Auto Sales Surge In July +16.4%
  • SoftBank Rebounds From Historic Loss With $12B Quarterly Profit
Commentary
Russia Registers Covid-19 Vaccine, Putin’s Daughter Given It

Russian President Vladimir Putin says that a coronavirus vaccine developed in the country has been registered for use and one of his daughters has already been inoculated.

 

Speaking at a government meeting Tuesday, Putin said that the vaccine has proven efficient during tests, offering a lasting immunity from the coronavirus. Putin emphasized that the vaccine underwent the necessary tests. He added that one of his two daughters has received a shot of the vaccine and is feeling well.

 

Russian authorities have said that medical workers, teachers and other risk groups will be the first to be inoculated.Russia is the first country to register a coronavirus vaccine. Many scientists in the country and abroad have been skeptical, however, questioning the decision to register the vaccine before Phase 3 trials that normally last for months and involve thousands of people.

(AP News – Continue Reading)

German ZEW Confidence Surges To Highest Level Since ‘04

Frankfurt, 11 August 2020 (LS NEWS) – German investor confidence jumped to a 16-year high in August as financial market experts expressed further optimism about the outlook for Europe’s largest economy.

 

The ZEW’s forward-looking economic sentiment index ballooned to 71.5, the best result since January 2004, to handily beat the market estimate of 58.0 and the 59.3 reading in July.

The current sentiment indicator slipped to -81.3, well short of -68.8 forecast and down from the -80.9 reading last month.

 

Those responding to the German thinktank’s monthly poll seemed to ignore the possible future impact of further coronavirus flare ups and rising political and trade tensions. Christopher Dembik, head of macroeconomic analysis at Saxo Bank, tweeted: “This new jump confirms optimism prevails fueled by economic normalisation, hope of beating Covid and continued stock market gains.” The ZEW’s indicators for the Eurozone showed a similar pattern to the German results, with a rise in optimism about the next six months and a worsening view of the current environment.

(LiveSquawk - Continue Reading)

State Aid Emerges As Major Hurdle To Reviving Covid-19 Talks

Federal money for state and local governments is a key sticking point to reviving negotiations over the next coronavirus relief package. The White House and congressional Democrats are deeply divided over whether states should get more money — and if so, how much.

 

Before talks collapsed late last week, the two sides were hundreds of billions apart on how much they were willing to put on the table. Democrats want $915 billion, while Republicans are offering $150 billion, the same amount included in the CARES Act from late March. There are no signs the impasse is thawing, underscoring how difficult it will be to clinch an agreement after negotiations went off the tracks.

 

Treasury Secretary Steven Mnuchin called the Democratic request for nearly $1 trillion in new money “an absurd number.” "There's plenty now, and we've put more money on the table," he said during an interview with CNBC on Monday. "We’re not going to give a trillion dollars for state and local. That’s just not a reasonable approach." President Trump and Republicans have lashed out at Democrats, arguing they torpedoed the talks unless they got bailouts for their home states as part of the next Covid-19 relief bill.

(The Hill – Continue Reading)

Hospitals In Some US Hot Spots Finally Get Virus Respite

American hospitals are getting a reprieve as a spike of Covid-19 cases in the Sun Belt eases and the Northeast recovers, giving health-care workers a chance to prepare for what September and October may bring. For the first time in a month, fewer than 50,000 Americans are known to be hospitalized with Covid-19, according to data compiled by the Covid Tracking Project through Sunday.

 

In Arizona, one of several states to have suffered a brutal July, the coronavirus hospitalization figures have dropped by about half. In Florida, they’re down about a third from their peak last month, partly due to an easing of pressure on the Miami area. And in New York, where the pandemic hit hardest in its first onslaught, Governor Andrew Cuomo said Monday that the numbers fell to their lowest of the pandemic -- 535 hospitalized and 127 in the ICU statewide.

 

“These are not just blips at this point,” Florida Governor Ron DeSantis said Monday of his state’s Covid-19 trends. “These are sustained movements.” In New Jersey, Governor Phil Murphy said Monday that the transmission rate fell below 1 for the first time since July 25, suggesting that the state is slowing the spread of the virus, but “only by a hair.”

(Bloomberg - Continue Reading)

UK Unemployment Remains Near Record Lows

The official UK unemployment rate remained near all-time lows in June, confounding expectations for a rise in jobless numbers and “lag[ging] behind the reality on the ground.”

 

The Office for National Statistics (ONS) said on Tuesday that the 3-month unemployment rate remained near record lows at 3.9% in June. The single-month rate fell from 4.1% in May to 3.8% in June. Economists had expected unemployment to rise to 4.2% in June, up from 3.9% in May. However, more experimental real-time data released by the stats body showed a worsening outlook for the jobs market.Payroll data pointed to another 80,000 jobs lost between May and July. The number of people moving from unemployment to “inactivity” also reached a record high, suggesting many people who were out of work had stopped looking for new jobs and were therefore missed by the official headline unemployment stat.

 

Employment declined by 220,000 between April and June, the biggest quarterly decline since mid-2009. The decrease was driven by a fall in work rates for the over-65s, the self-employed, and part-time workers. However, a record increase in full-time workers helped to offset the impact. The ONS said the employment rate declined by 0.2 percentage points to 76.4%.

(Yahoo Finance - Continue Reading)

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