The White House announced major moves in coordination with the Federal Reserve to mitigate economic damage from the coronavirus pandemic which has brought some industries to a near halt.
In a briefing Tuesday, Treasury Secretary Steven Mnuchin announced he had approved the Fed’s emergency action to buy short-term loans from banks and companies and committed the Treasury to provide $10 billion in loans.
Before leaving the briefing to continue negotiations with senators, he also announced that the administration is working on a plan to send some Americans checks to help ease the financial burdens they are facing amid the outbreak.
“We are looking at sending checks to Americans immediately … Americans need cash now and the president wants to get cash now. And I mean now, in the next two weeks,” Mnuchin said. “The president has instructed me that this is no fault to American workers. For medical reasons, we are shutting down parts of this economy. We are going to use all the tools we have.”
For the tools he does not have, Mnuchin said he is going to Congress. Mnuchin, who relayed that he spoke to House Speaker Nancy Pelosi today, said the amount that will be sent to Americans “may be bigger than what’s out in the press” but that millionaires will likely not receive those payments. Mnuchin said the administration is looking to get cash in Americans’ pockets directly, rather than pushing for payroll tax cuts that will take months.
The Treasury Secretary also said the president had instructed him to allow tax payment deferrals, interest and penalty-free, for 90 days. Individuals can defer up to $1 million and corporations can defer up to $10 million, though he encouraged those who can file taxes to do so now to get tax refunds.
“We’re going big,” President Donald Trump said, adding that the administration will ask Congress for an $850 billion stimulus package. He urged Americans to follow guidelines to stay inside and cautioned against hoarding food.
The president also said the administration will coordinate with states and ask the Army Corps of Engineers for help in building makeshift hospitals if that becomes necessary.
Markets reacted positively to the president’s remarks Tuesday, up 300 points a few minutes into his remarks after sinking Monday. Just a few minutes later, Mnuchin said there are no plans to close markets but “we may get to a point where we shorten the hours.”
Additionally, the Families First Coronavirus Response Act made it to the Senate today, a bill that GOP Senators and the White House are reportedly trying to link with the president’s request for $850 billion in stimulus spending. That could create one large package for the Senate to approve in the coming days.
Healthcare Updates
During the briefing, health officials said the healthcare industry is in desperate need of ventilators, N95 masks, and help in minimizing the outbreak’s spread. The federal government will be expanding telehealth by lifting HIPAA restrictions and expanding Medicare patient access, asking construction companies to donate N95 masks and refrain from placing new orders, and reminding young people to stay indoors.
“We’re asking the younger generations to stop going out in public places,” White House Coronavirus Response Coordinator Deborah Birx said. She also suggested canceling elective surgeries when possible.
Trump again said the federal government has ordered a “massive number of ventilators,” although it is unclear exactly how many have been.
He also announced the Food and Drug Administration yesterday approved a regulatory change to give states the ability to go forward with lab-developed tests within their borders.
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
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