Good morning, everyone. Welcome to bloomberg surveillance. I am Francine Lacqua here in london. This is what the gap. There is a big movement on europound. That is what i would be watching. Also data coming in better than expected but really still under 50 at 41. 7. If you look at the data, the story on the markets is exactly what is happening with euro pound. Now, the fact that france is now floating a veto threat over the brexit deal makes a lot of Market Participants very nervous. I am looking at our live blog, in 2020 at funny expecthe basically says eurosterling to appreciate rapidly through the september high. Leaplks about ready to Tall Buildings if the trade talks fail. Overall, looking at global stocks really pausing for breath after record highs. Now lets get to the bloomberg first word news in london with leighann gerrans. Hi, leighann. Leighann good morning, francine. Expanding the lockdown in germany for three more weeks until january 10. Reassessrkel wants to the restrict
Tonight. Also breaking tonight, california has officially surpassed 1 million that is according to Johns Hopkins university. These new numbers coming just within the past hour. California is now the second state after texas to report at least 1 million covid cases and more than 18,000 people. Have died. And the Coronavirus Crisis is where we begin tonight on kron 4 news at 5. Im Vicki Liviakis and im grant lotus really a reality check on a night you have coronavirus cases surging across most of the country in some spots there really exploding and here in the bay area they are rising as well many counties, locally are now faced with the possibility of having to move back another tier into a more restrictive tier in the states reopening system in some Health Officials are choosing to pause their reopening plans with the hope of slowing the spread of covid and avoiding some of the economic consequences of being forced to go back and entire tier. Yeah today Alameda County announced that it
That the recovery will be as strong as possible and to limit lasting damage to the economy. In recent months Economic Activity picked up as the economy began to rope. Many businesses opened their doors. Factories restarted production and many left their homes to engage in various activities. As a result Household Spending looks to have recovered about half of its earlier decline although spending for services such as air travel and hotels has shown much less of a pickup he recovery in Household Spending owes to benefits which provided substantial and timely support to household incomes. In contrast, indicators of businessfixeded investment have yet to show a recovery. Even with the improved Economic News in may and june, overall activity remains well below its level before the pandemic. The contraction in g. D. P. Will likely be the largest on record. The labor market has followed a similar pattern. After drops in march and april, employment rose strongly in may an june as many returne
Interest rates, remains unchanged for the recent rise in covid19 cases. This runs an hour. The pandemic continues to cause tremendous human and Economic Hardship in the United States and around the world. The most important response to this Public Health crisis has come from our healthcare workers and remaining grateful to them and many other essential workers for putting themselves at risk day after day in service to others and our country. All of us have a role to play in our nations responsibility to the pandemic. The Federal Reserve remains committed for using tools to do what we can to do as long as it takes to relieve stability and be as strong as possible. And lasting damage to the economy. In recent months Economic Activity picked up as the economy began to reopen. Many businesses opened their doors, restarted production and more people left their homes to engage in various activities which as a result Household Spending looks to have recovered half of its earlier decline, like
Thanks for taking my question, you added a sentence into the statement about the course of the economy depends on the path of the virus is this do you feel this idea or view is not widely enough understood do you feel you had warned back in may that too early reopening or cautious reopening might harm the economy do you feel that message is not heard and some of these reopenings took place perhaps sooner than they should have i think we feel that it might be the most central fact or the most central driver of the economy is the virus were seeing that again. You saw that during the lockdown when we got cases way down you saw the economy reopening. You saw spending go up and hiring go up now that the cases have spiked again. Again, the early data, highfrequency data suggests that theres a slower pace of growth at least for now. We dont know how deep or how long that will be. Its such an important sentence, we just decided that it needed to be in our post meeting statement. Its so fundame