US stimulus package could be first of many throughout crisis - reaction

Investors look to US lockdown measures

Mike Sheen
clock • 3 min read

The unprecedented $2trn emergency stimulus package agreed by the US Congress last night to fight the fallout of the coronavirus pandemic may be the first of a number of such packages, industry experts have suggested, while the length of ongoing quarantine measures in the world’s largest economy is set to be the key factor in recovery.

Confirmation of the deal, which largely consists of money to bail out affected industries as well as helicopter money for US households, saw US equity markets rally by more than 9% last night, while Asian and European markets have also opened higher.   It follows the Federal Reserve's package of monetary policy support, announced earlier this week, which effectively infinitely extended quantitative easing measures, and established facilities for the purchase of corporate bonds and support for municipal lenders. Reacting to market movements on Twitter this morning (25 March) deputy CIO...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on US

JP Morgan AM's Karen Ward: Investors should not 'trade' the US election
US

JP Morgan AM's Karen Ward: Investors should not 'trade' the US election

Focus on policy impact on inflation

Valeria Martinez
clock 14 March 2024 • 2 min read
Royal London AM launches Irish-domiciled US Equity fund
US

Royal London AM launches Irish-domiciled US Equity fund

Managed by Chris Parr

clock 13 March 2024 • 1 min read
LGIM CIO Laud: Magnificent Seven could be reaching bubble territory
US

LGIM CIO Laud: Magnificent Seven could be reaching bubble territory

Favours thematic approach to AI

Valeria Martinez
clock 11 March 2024 • 2 min read
Trustpilot