WASHINGTON (Pakistan Point News / Sputnik - 27th June, 2020) Most US economic indicators show a V-shape recovery after novel coronavirus-induced falls, the White House Economic Adviser Larry Kudlow said on Friday.
"Virtually every number is showing a V-shape recovery now - private surveys, government statistics, restaurants, homebuilders, truckers, durable goods makers, auto-mobility and travel, gasoline demand and... the jobs," Kudlow said during a meeting at the American Workforce Policy Advisory board.
Kudlow also hailed the "tremendous" retail sales and consumer spending figures. The latter, which accounts for over two-thirds of US economic activity, rose by 8.2 percent in May. Its largest increase ever mostly offsets its historic fall by 12.6 percent in April at the height of novel coronavirus-induced quarantines and lockdowns.
"It's a great story. And I still think we have 20 percent in the second half of the year and if we get another 5 percent in the first quarter of the next year we will be right back to the peak in 2019 where you got us the first time with growth policies," Kudlow said.
US President Donald Trump has said that 2021 "is going to be an amazing year."
US Treasury Secretary Steve Mnuchin, also present at the meeting, said the significant money injections in the economy have started to work, but the US government will ask Congress for additional stimulus measures in July.
"We put $3 trillion in, it's beginning to work, we see it," Mnuchin said. "We know we need a few more tools, we will go back to Congress next month... I am confident we are going to see strong third and fourth quarters as we reopen."
The previous package - the Coronavirus Aid, Relief and Economic Security (CARES) Act - approved a total of $3.3 trillion in loans and grants to businesses, paycheck protection for workers and personal aid to qualifying US citizens.
