2020-07-02 14:21:41, Kristina Hooper Chief Global Market Strategist, source
Content Categorization
/Business & Industrial
/News/Business News
Word Count:
3602
Words/Sentence:
23
Reading Time:
36.02 min
Reading Quality:
Advanced
Readability:
16th or higher
Our base case is that the global economic recovery in its initial stages will be slow and uneven; we could think of it as having a "square root"-shaped or "swoosh"-shaped recovery.
In conclusion, we expect the nascent economic recovery to continue in the back half of 2020, although at a slow and uneven pace, with the help of additional fiscal and monetary support.
Given these and other challenges facing the US economy in the second half of the year, we believe it is critical that the government continues to provide fiscal stimulus, particularly an extension of benefits to households and businesses impacted by the pandemic, as well as state and local governments.
We know far more about this virus now than in March 2020 (the benefits of masks and social distancing, and the lower risk of outdoor gatherings), which should enable the nascent economic recovery to continue.
Our outlook for the year quickly became obsolete with the rapid spread of COVID-19 and accompanying lockdowns across the globe, which have stymied economic activity and caused an unprecedented destruction of demand.
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