Overseas Headlines – July 24, 2020

United States:     

U.S. Economic Recovery Is Stalling and It May Get Even Worse

“The official numbers have begun to confirm what many Americans feel in their bones: the economy is buckling once again. Despite assurances from the Trump administration that better times are at hand, the worsening pandemic is restraining or even snuffing out the economy’s nascent recovery. From restaurant dining to air travel and now to filings for unemployment benefits, a growing body of evidence indicates America’s rebound from the pandemic is stalling days before hundreds of billions of dollars’ worth of federal aid is set to expire.”



Europe’s Return to Growth Comes With a Warning About Jobs

“Europe’s economy is finally showing signs of growing again after months of an unprecedented slump caused by the coronavirus pandemic. Private-sector activity in the euro area rose to the highest in more than two years in July, with both services and manufacturing showing expansion. In the U.K., retailers saw sales volumes rise in June close to pre-lockdown levels, even as social distancing measures prevented a complete return to normal.”



The U.S.-China Trade Deal Risks Falling Victim to Spiraling Ties

“As U.S.-China ties have deteriorated since the Covid-19 pandemic devastated the globe, the trade deal they signed in January has served as sort of a linchpin in the relationship. Now that also could be coming undone. President Donald Trump, who has repeatedly blamed China for the virus’s spread ahead of the U.S. election in November, said Thursday the phase-one trade deal “means less to me now than when I made it.” He spoke shortly after the U.S. shut down China’s consulate in Houston for spying and theft of intellectual property, which prompted Beijing to retaliate Friday by ordering American diplomats to abandon their Chengdu outpost.”



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