The $500 Billion Bailout, Privilege, and Accountability | The Common Good with Robert Reich

In this episode of The Common Good, Former Labor Secretary Robert Reich discusses the Senate coronavirus stimulus bill that passed late last night, the $500 billion slush fund for corporations, the public officials and industries exploiting this crisis for personal gain, and the dangerous prospect of sending people back to work to boost corporate executive’s stock portfolios.

Stimulus Package – Too Little, Too Late (w/ Richard Wolff)

There has been a binge of borrowing resulting in a stimulus package aimed at helping Americans. Richard Wolff looks at what is going wrong with society and the next crisis.

Italien fährt Wirtschaft größtenteils herunter

FRANKFURTER ALLGEMEINE ZEITUNG: In Italien sollen Unternehmen, die keine lebenswichtigen Güter oder Dienstleistungen produzieren und anbieten, die Arbeit einstellen. Rapide steigende Sterbezahlen zwingen die drittgrößte Volkswirtschaft der EU zu diesem Schritt.

Italien schließt angesichts immer weiter steigender Totenzahlen durch die Coronavirus-Pandemie die gesamte nicht lebensnotwendige Produktion. Davon seien Supermärkte, Banken, Post und Apotheken ausgenommen, sagte Ministerpräsident Giuseppe Conte am Samstagabend. „Es ist die schwerste Krise für das Land seit dem Zweiten Weltkrieg.“ Nun werde jede produktive Tätigkeit eingestellt, „die nicht entscheidend und unerlässlich dafür ist, uns essenzielle Güter und Dienstleistungen zu garantieren“. Diese drastische Maßnahme in der drittgrößten Volkswirtschaft der EU soll zunächst bis 3. April gelten.

Das Land hatte am Samstag an nur einem Tag fast 800 Tote vermeldet und damit so viele wie nie seit dem Ausbruch des Virus im Land. Bisher starben 4825 Menschen, teilte der Zivilschutz in Rom mit. Das waren 793 mehr als am Vortag. Besonders stark betroffen ist die nördliche Region Lombardei, wo das Virus Ende Februar ausgebrochen war und die Krankenhäuser mittlerweile vor dem Kollaps stehen. Die wirtschaftlichen Schäden für das hoch verschuldete Land sind jetzt schon unermesslich. » | Quelle: dpa | Sonntag, 22.März 2020

Joseph Stiglitz: Trump’s “Trickle-Down” Economic Plans Are Not Enough to Meet Coronavirus Challenge

The coronavirus relief package signed by President Trump Wednesday provides unemployment benefits and free coronavirus testing to millions of Americans suddenly out of a job, but guarantees paid sick leave to less than 20% of American workers. Earlier this month, Trump signed into law an $8 billion coronavirus response package and has laid out the first details of a third, $1 trillion economic package and invoked the Korean War-era Defense Production Act to allow the government to direct industrial production. For more on those bailouts and who benefits, we speak with Joseph Stiglitz, Nobel Prize-winning economist, Columbia University professor and chief economist for the Roosevelt Institute. He served as chair of the Council of Economic Advisers under President Bill Clinton and as chief economist of the World Bank. His latest book is “People, Power and Profits: Progressive Capitalism for an Age of Discontent.”

“Coronavirus Capitalism”: Naomi Klein’s Case for Transformative Change amid Coronavirus Pandemic

Author, activist and journalist Naomi Klein says the coronavirus crisis, like earlier ones, could be a catalyst to shower aid on the wealthiest interests in society, including those most responsible for our current vulnerabilities, while offering next to nothing to most workers and small businesses. In 2007, Klein wrote “The Shock Doctrine: The Rise of Disaster Capitalism.” Now she argues President Trump’s plan is a pandemic shock doctrine. In a new video for The Intercept, where she is a senior correspondent, Klein argues it’s vital for people to fight for the kind of transformative change that can not only curb the worst effects of the current crisis but also set society on a more just path.

Billionaire Petition

Calls for UK Basic Income Payment to Cushion Coronavirus Impact

THE GUARDIAN: MPs, peers and others say the money for all citizens would help them through crisis

The government is facing cross-party calls from MPs, charities and thinktanks to start paying swathes of the population a basic income to cushion the economic shock of the coronavirus outbreak.

The former Conservative business secretary Greg Clark urged the government to act immediately to prevent mass job losses by allowing the taxpayer to subsidise companies’ wage bills. Forty-six opposition MPs and peers also wrote to Boris Johnson and Rishi Sunak demanding a basic income payment for all citizens to see them through this crisis. » | Robert Booth and Heather Stewart | Thursday, March 19, 2020

The Dow Jones Falls Below Where It Was When Trump Took Office

VOX: More than three years of solid market returns evaporated in a few weeks, due to coronavirus.

“Since my election, U.S. stock markets have soared 70 percent,” President Trump bragged at his State of the Union address in February, before claiming that this bull market was “transcending anything anyone believed was possible.”

Those gains are gone.

On January 19, 2017, the day before Trump took office, the Dow Jones Industrial Average closed at 19,804.72. As of this writing, the Dow has dropped below that level, meaning that the rise in stock prices Trump touted so recently — and that he hoped to ride into this November’s election — no longer exists. (Though it is worth noting that ordinary market fluctuations could bring the Dow above the 19,804.72 point mark.) » | Ian Millhiser | Wednesday, March 18, 2020

Richard Wolff: This Is Like Nothing Ever Experienced

Investors are finally showing signs of buying into the Federal Reserve’s desperate bid to rescue Wall Street. Economist and founder of Democracy at Work Prof. Richard Wolff joins Rick Sanchez to discuss the Trump administration’s enormous stimulus package and whether it can resolve the current financial crisis. He argues that “we are in a situation for which no precedent exists.” He also points out that we are seeing the economic results of failing to prepare for the COVID-19 coronavirus pandemic.

Layoffs Are Just Starting, and the Forecasts Are Bleak »

Prepare for the Coronavirus Global Recession

THE GUARDIAN: What initially seemed localised is worldwide and economic pain will go on for longer than first thought

Travel bans. Sporting events cancelled. Mass gatherings prohibited. Stock markets in freefall. Deserted shopping malls. Get ready for the Covid-19 global recession.

Up until a month ago this seemed far-fetched. It was assumed that the coronavirus outbreak would be a localised problem for China and that any spillover effects to the rest of the world could be comfortably managed by a bit of policy easing by central banks.

When it became clear that Covid-19 was not confined to China and that the economic effects would be more widespread, forecasts started to be revised down. But central banks, finance ministries and independent economists took comfort from the fact that there would be a sharp but short hit to activity followed by a rapid return to business as usual. » | Larry Elliot | Sunday, March 15, 2020

US Government to Give Citizens Emergency Financial Aid

THE GUARDIAN: White House prepares to send direct payments to Americans as part of stimulus package

Donald Trump has dramatically stepped up the US government’s response to the coronavirus outbreak by announcing plans to send cheques directly to American citizens to give them emergency financial aid, while agreeing to purchase up to $1tn (£830bn) of corporate bonds.

The White House said it was preparing to send the payments to Americans within two weeks as part of a vast stimulus package to shore-up confidence in the world’s largest economy as the efforts to contain the disease threaten a global recession.

At a special briefing in Washington, the the US Treasury secretary, Steve Mnuchin, said: “This is stuff that needs to be done now. The president has instructed me, this is no fault to American workers, for medical reasons we’re shutting down.” » | Richard Partington, Economics correspondent | Tuesday, March 17, 2020

Coronavirus Update: Stocks Plunge Globally | DW News

Markets around the world are beginning the week with heavy losses. Germany's benchmark DAX fell 10 percent, dipping below the 9,000 mark for the first time since 2016. On Wall Street, the coronavirus continued to dash traders' hopes of a turnaround. The Dow Jones went down an enormous 9.7 percent. Trading on the S&P 500 was suspended after a 9 percent fall. Worldwide shares have tumbled due to uncertainty over the COVID-19 outbreak.

US-Börsen brechen ein – Handel gestoppt

TAGES ANZEIGER: Die führenden Zentralbanken schaffen es nicht, Investoren zu beruhigen.

Die zweite ausserplanmässige Zinssenkung der US-Notenbank (Fed) binnen zwei Wochen hat bei den US-Anlegern Rezessionssorgen geschürt. Nach einem Kursrutsch des S&P 500 wurde der Handel an der Wall Street am Montag gleich zu Beginn für 15 Minuten ausgesetzt - zum dritten Mal binnen sechs Handelstagen.

Zur Eröffnung hatte der Dow-Jones-Index der Standardwerte 9,7 Prozent tiefer bei 20'935 Zählern notiert, der breiter gefasste S&P 500 8,1 Prozent schwächer bei 2490 Punkten und der Index der Technologiebörse Nasdaq um 6,1 Prozent im Minus bei knapp 7393 Zählern. » | aru/reuters | Montag, 16. März 2020

Coronavirus: Anger in Germany at Report Trump Seeking Exclusive Vaccine Deal

THE GUARDIAN: MPs and ministers criticise display of ‘self-interest’ and accuse US president of electioneering

German ministers have reacted angrily following reports US president Donald Trump offered a German medical company “large sums of money” for exclusive rights to a Covid-19 vaccine.

“Germany is not for sale,” economy minister Peter Altmaier told broadcaster ARD, reacting to a front page report in Welt am Sonntag newspaper headlined “Trump vs Berlin”.

The newspaper reported Trump offered $1bn to Tübingen-based biopharmaceutical company CureVac to secure the vaccine “only for the United States”.

The German government was reportedly offering its own financial incentives for the vaccine to stay in the country.

The report prompted fury in Berlin. “German researchers are taking a leading role in developing medication and vaccines as part of global cooperation networks,” foreign minister Heiko Maas told the Funke Mediengruppe research network. “We cannot allow a situation where others want to exclusively acquire the results of their research,” said Maas, of the centre-left SPD.

“International co-operation is important now, not national self-interest,” said Erwin Rüddel, a conservative lawmaker on the German parliament’s health committee. » | Staff and agencies | Monday, March 16, 2020

Trump Says He Could Demote Fed Chair Powell, Risking More Market Turmoil

THE NEW YORK TIMES: At a time of grave investor uncertainty over the coronavirus, economists warned that the president could throw fuel on the fire.

WASHINGTON — President Trump said on Saturday that he had the power to remove or demote Jerome H. Powell, the Federal Reserve chair, renewing a long-running threat against the central bank’s leader at a time when it could further roil volatile markets.

Mr. Trump said in a news conference at the White House that ousting Mr. Powell was not his current plan but that he was “not happy with the Fed” because it was “following” and “we should be leading.” He said he had the right to remove Mr. Powell as chair “and put him in a regular position and put somebody else in charge,” but added, “I haven’t made any decisions on that.”

While it was a familiar threat from a president who has continually beaten up on Mr. Powell, it was made in the midst of growing concern that the spread of the coronavirus could tip the United States into a recession.

The mere hint that Mr. Trump could fire Mr. Powell, or demote him to a Fed governor, risks further destabilizing markets by worrying investors, who are already fretting over the economic fallout from shut-down businesses, quarantined workers and curtailed activity. » | Jeanna Smialek | Saturday, March 14, 2020

Financial Expert: Do This with Money During Coronavirus Outbreak

Financial expert Ted Jenkin says people should stock up on financial reserves rather than food and toiletries during the novel coronavirus outbreak.

Will the Coronavirus Pandemic Cause a Global Recession? I Inside Story

Stock markets around the world have had a turbulent week with some of the worst losses in over 30 years. It's the world's biggest health emergency. The coronavirus outbreak is now a pandemic, and there are fears it can lead to a catastrophic global economic crisis.

Sweeping containment measures have disrupted markets around the world - including in the US. A travel ban on 26 European countries came into effect on Friday and the unprecedented move sent stocks crashing to their worst losses in over 30 years.

On Wall Street, the Dow Jones Industrial Average sank 10 percent on Thursday -- its biggest plunge since the Black Monday crash of 1987. While European markets showed some signs of recovery on Friday. So, what's the economic fallout?

Presenter: James Bays | Guests: Pedro Da Costa - Senior Reporter at Market News International; Hosuk Lee-Makiyama - Director of the European Centre for International Political Economy; Gareth Leather - Senior Economist who specialises in Asian and emerging markets at the firm Capital Economics

Riesenverluste im Dax: Panik an der Börse

FRANKFURTER ALLGEMEINE ZEITUNG: Die Furcht vor den wirtschaftlichen Folgen der Corona-Pandemie sorgt für dramatische Kursverluste an den Aktienmärkten. Ein weiterer schwarzer Tag an der Wall Street steht bevor – und nicht nur dort.

Die Furcht vor den wirtschaftlichen Folgen der Corona-Pandemie sorgt für dramatische Kursverluste an den Aktienmärkten. Der deutsche Standardwerteindex Dax fiel um mehr als 12 Prozent auf 9.161 Punkte und schloss mit dem zweitgrößten Tagesverlust in seiner Geschichte. Der amerikanische Leitindex Dow Jones sank um mehr als 2000 Punkte, das größte Minus seit 32 Jahren. Der marktbreite S&P-500-Index verminderte sich in ähnlicher Größenordnung. Sowohl in Europa als auch in Amerika waren die Börsenumsätze deutlich höher als in den Monaten zuvor, was für eine substantielle und breite Marktbewegung spricht. » | Quelle: ala. | Donnerstag, 12. März 2020

Richard Wolff: Banks Are Trembling!

Economist and founder of Democracy at Work Dr. Richard Wolff and broadcasting legend Larry King join Rick Sanchez to weigh in on Wall Street's terrifying Monday plunge, the worst since 2008. They explain the link between oil exploration and extraction and the debt that fuels it. They also discuss the role of the coronavirus outbreak in the economic crisis and its likely influence on US politics.

A Fumbled Global Response to the Virus in a Leadership Void

THE NEW YORK TIMES: While world leaders are at last speaking out about the gravity of the pandemic, their voices are less a choir than a cacophony, with the United States absent from its traditional conductor role.

LONDON — In Frankfurt, the president of the European Central Bank warned that the coronavirus could trigger an economic crash as dire as that of 2008. In Berlin, the German chancellor warned the virus could infect two-thirds of her country’s population. In London, the British prime minister rolled out a nearly $40 billion rescue package to cushion his economy from the shock.

As the toll of those afflicted by the virus continued to soar and financial markets from Tokyo to New York continued to swoon, world leaders are finally starting to find their voices about the gravity of what is now officially a pandemic.

Yet it remains less a choir than a cacophony — a dissonant babble of politicians all struggling, in their own way, to cope with the manifold challenges posed by the virus, from its crushing burden on hospitals and health care workers to its economic devastation and rising death toll.

The choir also lacks a conductor, a role played through most of the post-World War II era by the United States.

President Trump has failed to work with other leaders to fashion a common response, preferring to promote his border wall over the scientific advice of his own medical experts. » | Mark Landler | Wednesday, March 11, 2020, updated Thursday, March 12, 2020

Dow Ends 11-Year Bull Market as Coronavirus Defies Economic Remedies

THE NEW YORK TIMES: Stocks plunged anew as the outbreak was officially declared a pandemic and policies to address its impact proved lacking or ineffective.

A renewed plunge in financial markets on Wednesday ended an 11-year bull market for the Dow Jones industrial average as the economic threat posed by the coronavirus outbreak came into stark relief.

As policymakers on both sides of the Atlantic appeared unwilling or unable to mount an aggressive response to the crisis, the Dow closed with a loss of nearly 6 percent. That brought its decline from its most recent peak less than a month ago to more than 20 percent — the definition of a bear market.

The broader S&P 500 was down nearly 5 percent for the day, but shy of bear territory.

The full economic toll of the outbreak — now officially a pandemic — will not be clear for months. But there is mounting evidence that it will be severe. Airlines are warning of empty planes and huge financial losses. A sharp drop in oil prices is threatening to put energy companies out of business and thousands of American drillers out of work. Supply-chain bottlenecks are forcing factories around the world to cut output, even as a slump in consumer confidence is raising doubts that there will be demand for their goods once production resumes. » | Ben Casselman | Wednesday, March 11, 2020

Coronavirus: Economic Fallout Intensifies with Crashing Oil Prices | DW News

The economic consequences of the coronavirus epidemic have sparked a conflict among major oil-producing nations. Last week, oil producers were unable to agree on a reduction in production volumes, resulting in a price war between OPEC and Russia. That has sent oil prices plummeting. The price of oil collapsed by 31.5 percent at the start of trading, the lowest price since January 1991.

As a reaction, stock markets fell sharply this Monday: In Tokyo, the Nikkei Index lost more than 5 percent, while the Hang Seng in Hong Kong fell almost 4 percent. Australia's ASX Index fell particularly hard with a minus of 7.3 percent and in Germany, the DAX tumbled almost 8 percent at the start of trading. The picture around the Gulf is even more dramatic - markets have shed up to around 10% there.

Coronavirus: £130bn Wiped Off FTSE 100 in Minutes

The FTSE 100 has seen more than £163bn wiped from the value of its constituent companies in a renewed coronavirus-linked sell-off.

Global Markets Tank amid Saudi-Russia Oil Price War

A crash in crude oil prices spreads to the stock markets, in what analysts are calling "Black Monday" - with some of the worst drops since the 2008 financial crisis as Saudi Arabia announces production hikes and price cuts amid a dispute with OPEC+ ally Russia. Meanwhile, coronavirus fears also take a major bite out of the global tourism industry as travellers stay home and an increasing number of countries restrict access to major destinations.

Oil Prices Dive as Saudi Arabia Takes Aim at Russian Production

THE NEW YORK TIMES: Russia on Friday rejected an agreement with OPEC on cuts in oil supplies to bolster prices.

Saudi Arabia slashed its export oil prices over the weekend in what is likely to be the start of a price war aimed at Russia but with potentially devastating repercussions for Russia’s ally Venezuela, Saudi Arabia’s enemy Iran and even American oil companies.

The effects were quickly felt, as the Brent global oil benchmark price collapsed by about $11 a barrel, or 25 percent, late Sunday in the sharpest decline since at least 1991, and stock market futures fell by about 3 percent.

The Saudi decision to cut prices by nearly 10 percent on Saturday was a dramatic move in retaliation for Russia’s refusal on Friday to join the Organization of the Petroleum Exporting Countries in a large production cut as the coronavirus continues to slow the global economy and, with it, demand for oil. » | Clifford Krauss and Stanley Reed | Sunday, March 8, 2020

Panic Hits Global Markets amid Threat of Coronavirus and Oil Price Slump

THE GUARDIAN: FTSE100 expected to fall 6.3% on opening on Monday after Asian shares are battered by growing fears of a worldwide recession

Stock markets in Europe and the United States are braced for their biggest falls since the 2008 financial crisis after the start of the trading week saw panic selling amid the double threat of a coronavirus-driven global recession and an oil-price war.

The FTSE100 is projected to plunge by 6.3% when trading begins on Monday morning, while the Dow Jones industrial average is on course to lose 4.9% in New York.

It follows huge losses on Asian markets on Monday where fears about the worsening worldwide economic slowdown were exacerbated by the shock decision by Saudi Arabia over the weekend to increase oil production in an attempt to drive competitors such as Russia and the US out of the market. » | Martin Farrer and Philip Inman | Monday, March 9, 2020

Tokios Börse bricht ein »

Who Will Save the World from a Coronavirus Recession? | Counting the Cost

Crash 1929 Börse

1929: Black Friday: A Stock Market Crash and Its Consequences

Fed Cuts Rates by Half a Point Amid Coronavirus Concerns | Hallie Jackson | MSNBC

NBC News’ Hans Nichols and Stephanie Ruhle break down the Federal Reserve’s decision to cut borrowing rates in response to the coronavirus outbreak. Aired on 03/03/20.