China will dethrone the U.S. economy this year _ The U.S. economy added 4.8 million jobs in June

• 2020-07-03
• Traiding Idea

China will dethrone the U.S. economy this year

Max Kisser and Stacy Herbert, American experts, believe that the Covid-19 pandemic has caused a saving glut in the United States, which is in stark contrast to the policies designed to stimulate economic growth in the United States.

"People are not consuming because we are entering Depression. The financial system is collapsing again, this is the global financial crisis part two, it's the Federal Reserve crisis part 12, and it's the depression part two," Max said.

According to Max, China will be the world's largest economy by the end of this year, not because its economic growth is higher than other economies, because it will be impacted the least by the global Depression.

He said the United States, along with the UK, France and Italy, would be hit hard by the global Depression. China will have the least impact and will be the world's leading economy.

Record jobs gain of 4.8 million in June; unemployment rate falls to 11.1 percent

The U.S. economy added 4.8 million jobs in June, with the unemployment rate falling to 11.1 %. But the resurgence of the Coronavirus is expected to slow the reopening of the U.S. economy.

The U.S. jobs report shows that jobs created in the United States are higher than the three million expected by economists.

The June jobs total are easily the largest single-month gain in U.S. history.

The Leisure and hospitality sectors saw the largest growth in employment, with 40 % of the total growth in June related to these sectors.

Retail also saw a significant gain of 740,000 jobs. Employment in the education and health services sector has increased by 568,000 while manufacturing jobs were up by 356,000.

U.S. Federal Reserve Chairman Jerome Powell confirmed the rebound in economic activity, saying the U.S. economy has entered an important new phase and the recovery process has begun earlier than expected. He warned that the outlook for the U.S. economy was "extremely uncertain" and that it depended on the success of controlling the virus.

The reopening of businesses in the United States has unleashed a wave of coronavirus infection in large parts of California, Florida and Texas. Several states have stopped reopening since late June, sending workers home.

The United States reported 50,000 new coronavirus cases on Wednesday, the fifth day in a row that the case record. More than 8,000 new cases have been reported in Texas.

The United States has been hit hardest by the coronavirus pandemic. To date, 2,780,000 people infected and more than 130,000 have died.