US economy has to wait: Trump stops negotiations on Covid aid – News

A new stimulus package will not be negotiated until after the elections. Wall Street reacts violently.

Four weeks before the US presidential election, US President Donald Trump dashed hopes for a new stimulus package from the crown ahead of the November 3 vote.

Trump ordered the administration and its Republicans not to negotiate any additional aid packages with Democrats until after the election. In return, the US president promised on Twitter that there would be a major economic stimulus package “immediately” after his electoral victory.

Wall Street is clearly in the red

As expected, Wall Street reacted with horror to the announcement, as New York stock exchange specialist Jens Korte reports. Because a new aid package worth billions of dollars was one of the top demands to keep the American economy going.

The aid should benefit, among other things, US airlines. Last week, Democratic House Speaker Nancy Pelosi appealed to the airline industry in hopes of an early deal. She called on United Airlines and American Airlines not to release some 30,000 people without paying for the time being.

Because right now?

Airline stocks were among the big losers on Tuesday. The biggest loser, however, was aircraft maker Boeing with a nearly seven percent discount on the Dow Jones, as Korte explains. The Dow Jones as a whole was down nearly 400 points after the tweet by US President Trump. Before that, it had gone up pretty solidly.

Hardly any other US president has identified as closely with the performance of the stock market as Trump. According to Korte, the fact that it has gone ahead at this point and despite the foreseeable allergic reaction in the stock market raises questions.

The president might just want to build a barrier to force Democrats to make concessions, says Korte: “But the prospect of an aid package in the next few weeks has definitely dimmed.” Democrats are asking for a $ 2.4 trillion package, while Republicans are asking for a $ 1.6 trillion package.

Biden keep going

Trump, who returned to the White House Monday night after a three-day stay at the clinic due to his Covid 19 illness, wants to secure a second term on November 3. His rival Democratic candidate and former Vice President Joe Biden is clearly ahead in the polls. In a new poll by news channel CNN, Biden leads with 57 to 41 percent.

The country is groaning under the crown crisis: According to Johns Hopkins University, more than 7.5 million people in the US have been infected. More than 210,000 people have died after becoming infected with the coronavirus, about a fifth of all deaths worldwide.