7/17, 6:11 PM (Source: TeleTrader)
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US economy sinks 37% in Q2, to drop 6.6% in 2020 - IMF

The International Monetary Fund (IMF) revealed on Friday that the United States' economy plunged 37% in the second quarter of 2020 compared to the same period last year and that it will tumble 6.6% at the end of 2020 due to the coronavirus pandemic.

According to the IMF's report, the crisis manifested mostly through the rising unemployment rate and small businesses' financial losses, despite the Federal Reserve's "unprecedented" efforts to "provide monetary stimulus." The IMF warned that, although the US financial system proved to be "both resilient and flexible," the resurgence in virus infections could lead to new economic shutdowns.

To avoid future risks, the report recommended the implementation of "further policy efforts" to "counter the pandemic" and "address a range of deep-rooted social and economic challenges that continue to afflict the US," as well as "reversing existing trade restrictions and tariff increases" that are "undermining the openness and stability of global trade."

Breaking the News / JR