Fed banks and America's future

It will not be easy to sit out the current crisis, as various presidents of the regional US central banks and Fed head Jerome Powell said. In a video conference, Powell spoke of an upcoming challenge. He and his colleagues do not consider a second wave of infections to be impossible and see renewed restrictions in public life and in the economy as necessary. The president of the central bank in Boston points to the country's missed efforts that have so far not contained the virus. The United States has also been hit hard by the huge rise in unemployment. The lost jobs could only come back in autumn. The head of the central bank in Minneapolis then expects another wave of infection. But the Fed and its boss Jerome Powell have also talked about new ways to support the US economy. The purchase of further government bonds is one of them.
On Wall Street, the euphoria of a possible recovery from the crisis has also subsided. For a few days now, the leading US Dow Jones index and the broader S&P index have been moving sideways with a slight downward trend. Only the Nasdaq tech index ended trading on Friday with a slightly positive result.
The USA got a very good rating from the rating agency Moody’s, despite the severe impact of the crisis. The agency earned the AAA rating from its exceptional economic strength. This means that the US continues to have the opportunity to borrow government debt on favorable terms.
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