U.S. stocks book worst daily losses since October as Powell stresses long road to recovery and short squeeze drama plays out MarketWatch 1/27/2021
MARKET SNAPSHOT
Stocks closed sharply lower Wednesday, leaving the Dow and S&P 500 index negative for 2021, on mixed earnings reports and after Federal Reserve Chairman Jerome Powell underscored the long road to economic recovery ahead, following the central bank’s first policy meeting of 2021.
Investors also were transfixed by trading in videogame retailer GameStop Corp. GME, which has surged more than 1,700% this month, as well as in a few other key heavily shorted stocks favored by an army of individual investors organized via Reddit’s wallstreetbets forum.
White House signals it could agree to more narrowly targeted stimulus checks
CNBC 1/26/2021 Thomas Franck
Brian Deese, President Joe Biden s top economic advisor, suggested the administration could be open to tweaking eligibility for future stimulus checks.
As written, the president s plan calls for a $400 weekly unemployment supplement, a $15 minimum wage and $1,400 stimulus checks.
Deese s comments on Tuesday came as the president s $1.9 trillion plan faces critiques by a bipartisan group of lawmakers hoping to reduce its price tag.
Biden himself on Monday said he would consider curbing eligibility for the checks if it could help secure Republican support in Congress.
NEC Director Brian Deese on Biden administration s Covid relief goals
We have a relatively light data week ahead regarding the amount of significant data points coming out. However, the economic events are extremely sign .
Biden is no longer afraid to spend big on economic relief Here s what s changed since 2009 ktvz.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from ktvz.com Daily Mail and Mail on Sunday newspapers.
Inflation could prove Biden s toughest economic challenge Follow Us
Question of the Day
ANALYSIS/OPINION:
Inflation may soon rear its ugly head, and President Joseph R. Biden and Federal Reserve Chairman Jerome Powell will find it more difficult to control than their spending plans and recent ruminations indicate.
In a crisis, spending, borrowing and printing money are fine as long as those are temporary, and we reckon with the long-term consequences for government finances.
In 2020, Congress and President Trump borrowed to spend about $3.3 trillion to lift family incomes, boost unemployment benefits and support businesses impacted by the shutdowns, but the new Treasury securities were not much scooped up by private investors.