“We are seeing a partial recovery in the energy market as countries take all the steps to reduce restrictions and restart their economies,” Nasser said in a statement.
Aramco is stuck with a $ 75 billion dividend for this year, even as rivals like Royal Dutch Shell and BP pay out investors. And there are few signs that the company will follow rivals who say they are pivoting for cleaner fuel.
Keep in mind: Aramco executives will discuss their second-quarter results in a call from investors scheduled for 8:30 a.m. ET.
Trump’s executive orders spark confusion
Administrative officials have difficulty explaining how the executive orders will work, and critics insist some measures are unconstitutional. Payroll taxes and unemployment benefits are two major problem areas.
The president’s move to defer tax contributions for some Americans is already hesitant amid arguments that only Congress will impose tax policies and that workers would end up with an enormous bill by the end of the year. His plan to extend special federal unemployment benefits rests on cash-strapped states that raise 25% of the tab.
New York Democratic Gov. Andrew Cuomo said Sunday that Trump’s initiative was “laughable.” “You can not say now against states that do not have funding, you have to pay 25% of the unemployment insurance,” he said.
Even Ohio State Governor Mike DeWine, a Republican, told CNN he is not yet sure if his state will take the federal money for unemployment. States would have to put in place a whole new system to provide the extra aid.
Where does that leave companies and workers? The best opportunity to provide much-needed stimulus rests with Congress and the normal legislative process. Trump issued his executive orders after weeks of negotiations failed to produce a breakthrough. Democrats of Congress favor a much larger relief package.
Hotel and travel services on tap
Results from Marriott and Royal Caribbean were able to set the tone for U.S. markets on Monday, with investors getting the latest data on how travel companies are dealing with the unusual trauma caused by the pandemic.
Why it matters: The travel industry generates an estimated $ 5.7 trillion in revenue each year. It is responsible for an estimated 319 million jobs, as roughly one in 10 people working on the planet.
Plus, the sector has the potential to become a major drag on the global recovery as the coronavirus continues to return to normal travel patterns.
Next
Marriott and Royal Caribbean report winnings before the opening clock.
Also today:
- Tencent Music will release earnings after the closing.
Next morning: SoftBank and InterContinental report revenue. Plus, the latest data on Germany’s economic recovery.
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