Right Now

Nearly 10 million have filed for unemployment benefits in the last two weeks.

Another 6.6 million joined the U.S. unemployment rolls last week.

Alabama

7

million

6,648,000

Claims were filed last week

6

Initial jobless claims, per week

Seasonally adjusted

5

4

The week before was revised

up 24,000 to 3,307,000

3

RECESSION

2

1

’04

’08

’09

’12

’16

’20

chief executive

7

million

6,648,000

Claims were filed last week

6

Initial jobless claims, per week

5

Seasonally adjusted

4

The week before was revised

up 24,000 to 3,307,000

3

RECESSION

2

1

’04

’08

’09

’12

’16

’20

Columbia University

7

million

6,648,000

Claims were filed last week

6

Initial jobless claims, per week

5

Seasonally adjusted

4

The week before was revised

up 24,000 to 3,307,000

3

RECESSION

2

1

’04

’08

’09

’12

’16

’20

Frederick Warburg Peters

7

million

6,648,000

Claims were filed last week

6

5

Initial jobless claims, per week

4

Seasonally adjusted

The week before was revised

up 24,000 to 3,307,000

3

RECESSION

2

1

’04

’08

’09

’12

’16

’20

More than 6.6 million people filed new claims for unemployment benefits last week, the Labor Department said Thursday, setting a grim record for the second straight week.

The latest claims brought the two-week total to nearly 10 million.

The speed and scale of the job losses is without precedent. Until last month, the worst week for unemployment filings was 695,000 in 1982.

“What usually takes months or quarters to happen in a recession is happening in a matter of weeks,” said Michelle Meyer, chief U.S. economist for Bank of America Merrill Lynch.

A month ago, most forecasters still thought the United States could avoid a recession. Today, with the pandemic shuttering businesses and forcing vast layoffs, many economists are expecting a decline in gross domestic product that rivals the worst periods of the Great Depression.

Wall Street is unsteady as jobless claims skyrocket.

A new surge in jobless claims undercut a stock market rally on Thursday as investors weighed the latest sign of the economic damage wrought across the country by the coronavirus pandemic.

Stocks in the Europe and futures on the S&P 500 had been higher before the said 6.6 million people had filed for unemployment benefits last week.

By the time regular trading began in the U.S., those gains had faded and the S&P 500 was slightly lower.

Prices for longer-term U.S. Treasury bonds rose, suggesting investors were continuing to see them as a safe place to park money. Gold prices rose in futures markets, too.

The index dropped 4.4 percent on Wednesday, driven lower by worsening economic data and Trump’s warning that the U.S. was set for a “very, very painful two weeks.”

The unemployment claims show the rapidly changing jobs market in the U.S., where layoffs and furloughs are hitting workers in almost every industry as efforts to contain the virus outbreak decimate consumer spending, travel and manufacturing.

Pressure builds on Congress to do more to help workers and businesses.

The Labor Department’s report on Thursday that 6.6 million Americans filed claims for unemployment benefits last week only increases the pressure on President Trump and members of Congress to ready another package to further aid workers and businesses through the coronavirus crisis.

The $2.2 trillion package that Mr. Trump signed into law last week includes enhanced benefits for unemployed workers for up to four months, along with aid for large and small businesses and direct payments to millions of individuals, as the country struggles through a shutdown of economic activity meant to slow the spread of the virus.

Many economists have warned that the $350 billion included in that most recent package for aid to small businesses will not prove sufficient to help all of the companies that might otherwise go under during the shutdowns.

R. Glenn Hubbard, a economist and former adviser to President George W. Bush, said in an interview that the necessary assistance is likely “closer to $1 trillion,” which would require another $650 billion appropriation from Congress.

Democrats, including Speaker Nancy Pelosi of California, have pushed for additional payments to reach more Americans, to help people continue to pay their bills through the crisis. Senator Sherrod Brown of has called for federally funded “hazard pay” for doctors, nurses, grocery store clerks, postal carriers and other workers on the front lines of the virus.

Mr. Trump and Democratic leaders have also called for a sweeping investment in infrastructure, like broadband expansion and bridge repair, that could put millions of Americans to work once the crisis abates. Republican leaders in the House and Senate have shown less enthusiasm for many of those ideas.

Satellite images show that Saudi oil shipments have surged.

Image

Credit…Giuseppe Cacace/Agence France-Presse — Getty Images

Saudi Arabia is making good on its threat to flood the world with oil, according to data from satellite images. Saudi loadings of oil onto tankers have surged reaching as high as 14.8 million barrels on Wednesday, the day that production agreements with OPEC and Russia formally ended, according to Alex Booth, head of market research at Kpler, which tracks oil flows.

That number is roughly double the kingdom’s average daily export of about 7.4 million barrels a day in January and February.

As Saudi exports spiked, oil prices rose Thursday. President Trump told reporters Wednesday that he expected Saudi Arabia and Russia to reach a deal soon to end their price war. “I think that they will work it out over the next few days, “ Mr. Trump said, Reuters reported.

The Saudis also appear to be raising production, analysts say. Antoine Halff, a founding partner of Kayrros, which monitors oil industry activity by satellite, said the firm had recently detected more flaring of natural gas, possible evidence of a rapid output increase, in the Ghawar field, the world’s largest oil field.

While a Saudi-Russia deal would take some oil off the market, most analysts are skeptical that it would come close to being sufficient to compensate for the around 25 percent decline of demand that some analysts expect from the fallout from the coronavirus epidemic.

Public pensions were facing a crisis even before the coronavirus.

Pension programs have taken huge hits to their investment portfolios over the past month as the markets collapsed. The outbreak has also set off widespread job losses and business closures that threaten to wipe out state and local tax revenue.

That one-two punch has staggered these funds, which were already chronically underfunded. Most are required by law to keep sending checks every month to about 11 million Americans.

Even before the pandemic gut-punched the economy, Maria Pappas, the treasurer of Cook County, Ill., counted a record 57,000 delinquent property-tax payers in her county, which includes Chicago. Property taxes feed more than 400 municipal pension funds in Cook County, including some that are cash-starved and close to hitting bottom.

“The people have no money,” said Ms. Pappas.

Last week, Moody’s investors service estimated that state and local pension funds had lost $1 trillion in the market sell-off that began in February. The exact damage is hard to determine, though, because pension funds do not issue quarterly reports.

Pension funds that run out of money — something that happened in Prichard, Ala., Central Falls, R.I., and — could tip cities and other local governments into bankruptcy. States would be in uncharted waters because there is no bankruptcy mechanism for them; the nearest analogy is a one-off law passed by Congress for , which has resulted in years of federal oversight, austerity measures and reduced debt payments to bondholders.

The spring buying season in real estate could be “catastrophic.”

In spite of market headwinds, overpriced apartments and legislative obstacles, New York’s residential real estate market was on an improbable upward swing for most of the first quarter.

Then the coronavirus struck, stopping the rebound in its tracks. Now, the pandemic threatens to do the same in real estate markets nationwide during the peak of buying season.

What happened in the first two months of the year no longer matters, said Jonathan J. Miller, the president of Miller Samuel Real Estate Appraisers & Consultants. “All that matters to the housing market is what happens next.”

New York State’s stay-at-home order, and similar restrictions elsewhere, have effectively banned open houses and in-person property showings, and “most people are not going to make a big purchase without seeing it,” said , the of Warburg Realty. Depending on the duration of the outbreak, he said, the number of new contracts in New York could drop by more than 70 percent in the second quarter, compared with the same period last year.

March was the second-busiest month ever for U.S. gun sales.

Americans bought 1.9 million guns in March, according to a Times analysis of federal data. It was the second-busiest month ever for gun sales, trailing only January 2013, just after President Barack Obama’s re-election and the mass shooting at Sandy Hook Elementary School.

With some people fearful that the pandemic could lead to civil unrest, gun sales have been skyrocketing. In the past, fear of gun-buying restrictions has been the main driver of spikes in gun sales, far surpassing the effects of mass shootings and terrorist attacks alone. But last month was different. As they prepare for an uncertain future, Americans have been crowding grocery stores to stock up on household essentials like canned beans and toilet paper. A similar worry appears to be driving gun sales.

In recent weeks, lines have been snaking out of gun stores throughout the country. In many states, estimated sales doubled in March compared with February. In Utah, they nearly tripled. And in Michigan, which has become a hot spot for virus cases, sales more than tripled.

The run on firearms has raised public health concerns and prompted local officials to debate whether gun stores should be temporarily closed.

Catch up: Here’s what else is going on.

  • Boeing’s chief executive, Dave Calhoun, announced voluntary layoffs in a note to staff on Thursday, with details on eligibility and benefits to come in three to four weeks. “We’re in uncharted waters,” he said, adding that the layoffs would provide a bridge to recovery, provided “we’re not confronted with more unexpected challenges.”

  • Home Depot has ordered all 2,300 of its stores in North America to stop sales of N95 masks to try to free them up for those on the front lines of the coronavirus emergency response, the company said on Wednesday.

  • Mitsubishi Motors on Thursday announced that it would temporarily suspend production at its plants in Japan because of the coronavirus’s “impact on the parts supply chain as well as global market decline.” Toyota Motors made a similar announcement last week.

  • SoftBank has decided it will not buy $3 billion in WeWork stock, a board committee of the office space company said Wednesday, dealing a blow to shareholders who had hoped to cash out their shares. SoftBank, a dominant shareholder of WeWork that has poured billions of dollars into the company, could also hold back $1.1 billion of financing from WeWork, reducing the company’s access to cash as the downturn caused by the coronavirus hits the already stressed business.

Reporting was contributed by , Peter Eavis, Stanley Reed, Ben Casselman, Patricia Cohen, , Niraj Chokshi, Keith Bradsher, Stefanos Chen, Keith Collins, David Yaffe-Bellany, Carlos Tejada and Daniel Victor.

  • Updated March 24, 2020

    • How does coronavirus spread?

      It seems to spread very easily from person to person, especially in homes, hospitals and other confined spaces. The pathogen can be carried on tiny respiratory droplets that fall as they are coughed or sneezed out. It may also be transmitted when we touch a contaminated surface and then touch our face.

    • What makes this outbreak so different?

      Unlike the flu, there is no known treatment or vaccine, and little is known about this particular virus so far. It seems to be more lethal than the flu, but the numbers are still uncertain. And it hits the elderly and those with underlying conditions — not just those with respiratory diseases — particularly hard.

    • What should I do if I feel sick?

      If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others.

    • What if somebody in my family gets sick?

      If the family member doesn’t need hospitalization and can be cared for at home, you should help him or her with basic needs and monitor the symptoms, while also keeping as much distance as possible, according to guidelines issued by the C.D.C. If there’s space, the sick family member should stay in a separate room and use a separate bathroom. If masks are available, both the sick person and the caregiver should wear them when the caregiver enters the room. Make sure not to share any dishes or other household items and to regularly clean surfaces like counters, doorknobs, toilets and tables. Don’t forget to wash your hands frequently.

    • Should I wear a mask?

      Experts are divided on how much protection a regular surgical mask, or even a scarf, can provide for people who aren’t yet sick. The W.H.O. and C.D.C. say that unless you’re already sick, or caring for someone who is, wearing a face mask isn’t necessary. The New York Times and other news outlets have been reporting that the wearing of face masks may not help healthy people, noting that while masks can help prevent the spread of a virus if you are infected, most surgical masks are too loose to prevent inhalation of the virus and the more effective N95 masks, because of shortages at health centers worldwide, should be used only by medical personnel. But researchers are also finding that there are more cases of asymptomatic transmission than were known early on in the pandemic. And a few experts say that masks could offer some protection in crowded places where it is not possible to stay 6 feet away from other people. Masks don’t replace hand-washing and social distancing.

    • Should I stock up on groceries?

      Plan two weeks of meals if possible. But people should not hoard food or supplies. Despite the empty shelves, the supply chain remains strong. And remember to wipe the handle of the grocery cart with a disinfecting wipe and wash your hands as soon as you get home.

    • Should I pull my money from the markets?

      That’s not a good idea. Even if you’re retired, having a balanced portfolio of stocks and bonds so that your money keeps up with inflation, or even grows, makes sense. But retirees may want to think about having enough cash set aside for a year’s worth of living expenses and big payments needed over the next five years.


Read More

Leave a Reply

Your email address will not be published.