Trump Cancels $2.4T COVID Relief Proposal As Regulators Seeking Clarity

Vandana  |  Oct 7, 2020

Donald Trump, President of the U.S., has announced his decision on the $2.4 trillion COVID relief proposal. He agreed for a $1.6 trillion package, however, the Speaker Nancy Pelosi did not agree to the offer and it got rejected.

It has been noticed that this announcement by Trump has caused a huge movement in the global stock and crypto markets. Right after he rejected the new economic aid packages, there has been a huge decline in the stock and crypto market across the world.

Nancy Pelosi is asking for $2.4 Trillion Dollars to bailout poorly run, high crime, Democrat States, money that is in no way related to COVID-19. We made a very generous offer of $1.6 Trillion Dollars and, as usual, she is not negotiating in good faith. I am rejecting their...

Trump Pleaded to Extend $25B in New Payroll Assistance 

Even though Donald Trump has declined to the new COVID relief proposal which has caused a decline in stock and crypto markets, it has been seen that he also pleaded the U.S. Congress to extend $25 billion in new payroll assistance. This payroll assistance is for the American passenger airlines as the industry has been facing huge losses as air travel is still not recovered in the states. There are reports that several major airlines will be shrinking their workforce by around 25%. 

Global Market Cap of Crypto Market Seen $7B Drop

On Tuesday, October 6, 2020, there has been a huge decline in the global crypto market and its market capitalization has seen a drop of $7 billion. Along with the announcement of Trump, another major reason is the decision of the U.K. regulators to ban crypto derivatives trading. Several influential people from the financial industry have also given their views regarding the action taken by the U.K. regulators. Sheldon Mills, Executive Director of Strategy and Competition at FCA has mentioned that there are huge price volatility and difficulty associated with the crypto derivatives trading. This clearly means that the retail customers are at a high risk of facing huge losses from trading crypto derivatives.

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