Due to the lack of an immediate medical solution to Covid-19, governments around the world have resorted to social distancing and lockdown measures in order to mitigate the spread of the virus. Moreover, approximately 50% of the U.S. population is now subjected to some form of governmental restraint, which is substantially impacting the economy. The first glimpse of the economic damage arrived when initial jobless claims for the week ending March 21st skyrocketed to 3.28 million and easily surpassed the previous record of 695,000 back in 1982. Both the Fed and the government officials are cognizant that economic data is going to deteriorate further and they have been extremely active this week. In terms of monetary stimulus, the Fed expanded its quantitative easing program by removing the cap and making it open ended while adding agency CMBS to its pool of eligible assets. The Fed also established two facilities to purchase investment grade corporate debt on both the primary and secondary markets, resurrected the Term Asset-Backed Securities Loan Facility and created the money market mutual fund and commercial paper funding facilities.
The Cares Act
On Wednesday March 25, 2020, the U.S. Senate voted unanimously to advance the next phase of congressional responses to the national health emergency by passing legislation entitled the Coronavirus Aid, Relief, and Economic Security Act (“the CARES Act”).
The legislation includes myriad provisions for public health spending designed to address the coronavirus, such as cash relief for individuals, a lending program for small business and relief for industries that have been adversely impacted economically by the health crisis. This legislation will need to be approved by the U.S. House of Representatives which is planning to convene Friday March 27, 2020, at which time the bill is expected to pass.
what happens if i skip the senior freeze for one year?
managing finances is complex. Why shouldn't you have a "money mentor" to help?
When it comes to boosting your savings or growing a 401(k) account, minimizing mistakes and making sound decisions is key.
“Even if an individual believes he or she knows everything about what they need to do to manage their finances, the reality is there are bound to be missing pieces,” says Diahann Lassus, president and chief investment officer at Lassus Wherley. “It definitely makes sense to have a financial mentor.”