Coronavirus economic impact concept image
This global pandemic had become one of the biggest threats to the global economy and financial market. COVID-19, the official term for the coronavirus, was first detected in Wuhan, China. Currently, the virus has infected over 134,000 people and killed almost 5,000 individuals. That being said, over 68,800 people have recovered from the virus.
On March 6th, 2020, President Donald Trump signed an $8.3 billion spending bill to fight COVID-19.
The reduction of activity in the global economy has led to lower demand for oil, making oil prices lower. The reduction of oil demand because of the outbreak will result in a dramatic increase in supply.
As a result of the outbreak, China’s factory activity in February came in at a record low. The slowdown in manufacturing has negatively impacted the economies in Vietnam, Singapore, and South Korea, as their economies are so closely linked. Many experts say that the more COVID-19 spreads, the longer the manufacturing would remain slow.
The stock mark has also taken a great hit as a result of the COVID-19 spread. The Dow was down more than 2,000 points, and the S&P was down 500.
As global authorities are recommending quarantine and self-isolation, many markets in the economy are struggling. Airlines have slashed flights, Disneyland park in Anaheim, California has closed, hotel revenues are plummeting, and the restaurant business is barely staying afloat. Airlines, amusement parks, hospitality, and dining make up 5% of the U.S. GDP, according to JPMorgan and the Bureau of Economic Analysis. In our capitalist economy, the decline of revenue in these financial markets doesn’t bode well for the U.S. economy.
There is currently no vaccine to prevent the spread of this virus, but the best way to prevent illness is to avoid being exposed to it. The virus is spread mainly from person to person: through being in close contact with one another (within 6 feet), or through respiratory droplets produces when an infected person coughs or sneezes.
1. Wash your hands often with soap and water for at least 20 seconds each time.
2. Avoid close contact, especially with people who are sick.
3. Stay at home if you’re sick.
4. Cover coughs and sneezes. EconomyEconomy
5. Wear a facemask if you are sick to protect others.
6. Clean and disinfect frequently touched surfaces. This includes phones, doorknobs, and keyboards.
Vola Finance can advance you up to $300 at NO INTEREST. Vola Finance can make sure your bank balance does not get too low and alert you before it does so that you don’t pay overdraft or NSF fees. Furthermore, Vola Finance breaks down your spending pattern to help you budget your upcoming expenses and find ways for you to save.
Vola supports over 6000 banks and credit unions and uses one of the nation’s largest bank connection providers to securely establish a link to your account.
Vola is transparent. There are NO HIDDEN FEES Vola operates by charging a subscription fee, there are no other charges. If the features offered by Vola are not compatible with your bank or phone, Vola Finance will refund you your subscription fee.
This is not a blog telling you how to participate in 'Who Wants to Be…
If you find yourself a little lost every time people around you talk about financial…
Did you know that the average credit score in the US hit an all-time high…
Working hard and trying to tackle those student loans? Well, good news! Six new benefits…
It has been a year full of financial lessons. People in America and worldwide are…
Artificial Intelligence may have been the biggest buzzword in the world, but for most Americans,…