The Weekly Brief
Global Market Insights Strategy Team
Thought of the week
The latest $900 billion stimulus bill and potential for further spending in the US is welcome news in the context of a weakening labour market. The enhanced unemployment insurance programs from last year’s CARES act were due to expire at the end of 2020, which would have left millions of consumers in the US facing a cliffedge drop in incomes. Around five million people are still on regular unemployment insurance but nearly 12 million are still relying on the enhanced programs that have provided payments to the struggling self-employed, as well as extending the window of time for which these payments can be received. The extension of these programs until mid-March in combination with a $300 boost to the payments will provide an important $120 billion safety net at a time when Covid cases and permanent unemployment are on the rise again.
Enhanced unemployment measures are key for millions of Americans
US jobless claims, millions of people