The world economy is on course for its fastest growth in more than a half century this year, yet differences and deficiencies could hold it back from attaining its pre-pandemic heights any time soon.
The U.S. is leading the charge into this week’s semi-annual virtual meeting of the International Monetary Fund, pumping out trillions of dollars of budgetary stimulus and resuming its role as guardian of the global economy following President Joe Biden’s defeat of “America First” President Donald Trump. Friday brought news of the biggest month for hiring since August.
China is doing its part too, building on its success in countering the coronavirus last year even as it starts to pull back on some of its economic aid.
CAC 40 was down 0.3% and Frankfurt’s
DAX was down 0.2%.
The former Federal Reserve Chair’s testimony, which concluded midafternoon, gave Yellen the opportunity to sell President-elect Joe Biden’s $1.9 trillion fiscal stimulus plan. Yellen emphasized the need to “defeat the pandemic” first before tackling the deficit, and bolster global confidence in the U.S. economy. She also warned that the nation faces “difficult months ahead” before it achieves widespread vaccination.
Yellen confirmed that no tax hikes or repeals of 2017’s legislation are on the table near-term, nor while the country struggles with the pandemic. Yet there was some surprise in the testimony, according to Max Gokhman, Head of Asset Allocation at Pacific Life Fund Advisors, regarding potential future changes. “Yellen said that the details of tax changes may be featured in this year’s infrastructure bill, which she is going to help draft. This could be setting up an ebullient
Biden’s Pick to Lead Treasury, Janet Yellen, Made Over $7.2 Million in Speaking Fees: Disclosures
Former Federal Reserve chief Janet Yellen, Joe Biden’s pick to lead the Treasury Department, made more than $7 million from speeches and working with corporations, according to financial documents disclosed on Dec. 31.
A financial disclosure form (pdf) posted to a government website showed she made about $7.2 million from speaking to Wall Street Firms and corporations over the past two years. She also worked with large firms such as Citi, Credit Suisse, Goldman Sachs, Google, City National Bank, Salesforce, UBS, Citadel LLC, and Barclays.
The document showed that Yellen brought in more than $1 million after giving nine speeches to Citi and earned $800,000 speaking to Citadel, a hedge fund founded by billionaire Ken Griffin.