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The science is screaming: Americans are in turmoil. More than 80% of U.S. adults report the nation’s future is a significant source of stress, according to a report Thursday from the American Psychological Association.

Americans are the unhappiest they’ve been in 50 years, according to a COVID Response Tracking Study released Monday.

And a survey published this month in the medical journal JAMA found three times as many U.S. adults reporting symptoms of serious psychological distress in April as they did two years earlier.”

https://eu.usatoday.com/story/news/health/2020/06/20/covid-racism-recession-mental-health-impacts-may-long-lasting/3211464001/


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Economists worldwide are watching the extraordinary collapse of what was until recently a seemingly indestructible economy.

“The United States still has the world’s largest economy measured by gross domestic product (GDP). But among developed nations, it is now at or close to the bottom on most rankings of economic health.”

https://independentaustralia.net/politics/politics-display/worlds-largest-economy-in-free-fall,14019


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Increasing evidence from credit markets is showing, that as I wrote in March, this recession will be worse than the 2007-2009 Great Recession.

Credit markets are a very good place to see where the economy is headed…”

https://www.forbes.com/sites/mayrarodriguezvalladares/2020/06/20/corporate-defaults-this-year-are-likely-to-surpass-the-mountain-of-great-recession-defaults/#3cee578d166c


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We [in the UK] are in a jobs crisis… The Bank of England expects almost one in 10 of the workforce to be unemployed… But will unemployment fall as swiftly as it has surged?

Yes initially, but… unemployment rockets in the crisis and falls like a feather in the recovery (averaging falls of just 0.55% a year).”

https://www.theguardian.com/commentisfree/2020/jun/21/unemployment-rose-like-a-rocket-but-will-only-fall-like-a-feather


One in four adults in the UK are experiencing food insecurity, which is likely to have left them susceptible to hunger and potential malnutrition, during the COVID-19 pandemic.”

http://newsroom.northumbria.ac.uk/pressreleases/one-in-four-uk-adults-at-risk-of-hunger-and-potential-malnutrition-following-lockdown-3014933


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The global economy is on the brink of another depression after the pandemic, a leading Scottish economist has warned.

“Sir Anton Muscatelli, principal of Glasgow University and a member of the Scottish government’s council of economic advisers, said the British economy is heading for its biggest economic crisis since the Second World War and it will be hard to avoid widespread business failures and mass unemployment.”

https://www.thetimes.co.uk/article/coronavirus-in-scotland-world-economy-facing-another-great-depression-warns-expert-2qk9hpw6j


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German authorities have expressed shock over a rampage of an “unprecedented scale” in the centre of Stuttgart, where hundreds of partygoers ran riot overnight and into Sunday, breaking shop windows, plundering and attacking police.

“Two dozen people, half of them German nationals, were provisionally arrested and police reported 19 officers hurt.”

https://www.theguardian.com/world/2020/jun/21/hundreds-run-riot-in-stuttgart-city-centre-after-drug-checks


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Germany’s coronavirus R number has leapt again – from 1.79 on Saturday to 2.88 on Sunday, official figures show…

“RKI said outbreaks had been reported in a variety of locations including hospitals and nursing homes.”

https://news.sky.com/story/coronavirus-germanys-r-number-rockets-again-from-1-79-to-2-88-12012143


European Central Bank head Christine Lagarde urged European Union leaders on Friday to quickly agree on a recovery package(The) EU economy is experiencing a dramatic fall,” she told the gathering, according to officials.”

https://uk.reuters.com/article/uk-eu-summit-lagarde/ecbs-lagarde-urges-quick-eu-recovery-plan-as-economy-in-dramatic-fall-idUKKBN23Q1J1


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Dutch police deployed mounted officers and water cannons in The Hague on Sunday after clashes erupted following a protest against COVID-19 lockdown measures…

“Police deployed mounted officers and a water cannon shortly before 15:00 CET to disperse the protesters and urged people to stay clear of the area.”

https://www.euronews.com/2020/06/21/dutch-police-use-water-cannon-to-disperse-the-hague-protest


Let the [Nigerian] Federal Government ease the lockdown and let the economy move because we can’t afford the current lockdown for six months, otherwise the country will collapse.”

https://punchng.com/our-economyll-collapse-in-six-months-if-current-lockdown-continues-fadahunsi-senates-customs-panel-chair/


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South Africa received a financial boost of $1 billion (R17bn) from the New Development Bank, formerly known as the BRICS Bank, to help government mitigate the social and economic bloodbath caused by the Covid-19 pandemic.

“However, experts have warned Finance Minister Tito Mboweni to be careful of the terms of the agreement.”

https://www.iol.co.za/sunday-tribune/news/sa-in-financial-crisis-gets-r1bn-financial-boost-from-ndb-49707318


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Protesters demanding jobs in Tunisia’s energy sector blocked roads with blazing tyres on Sunday after the arrest of an activist, as security forces responded with tear gas.

“For weeks, demonstrators have erected a protest camp in the southern Tataouine region demanding authorities make good on a 2017 promise to provide jobs in the gas and oil sectors to thousands of unemployed.”

http://north-africa.com/2020/06/tunisia-unrest-in-tataouine-over-unemployment/


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Algeria has intensified a crackdown on an anti-government protest movement, targeting social media users in a bid to stop demonstrations resuming once coronavirus restrictions end…

“Said Salhi, vice president of the Algerian League for the Defense of Human Rights.called the moves “an irresponsible attack, verging on provocation, against fundamental human rights.””

https://www.arabnews.com/node/1692336/middle-east


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Maids have been dumped outside a Beirut embassy, amid an ongoing economic crisis in Lebanon, heightened by the coronavirus pandemic. Lebanon’s economy is collapsing with the country’s currency losing 70% of its value in the past six months.

“Now many of the country’s middle class claim they can no longer afford to pay their domestic maids.”

https://www.bbc.co.uk/news/av/world-53031803/ethiopian-maids-dumped-outside-beirut-embassy


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“…after the Lebanese economy crashed, causing the lira to tumble, along with the coronavirus crisis a few months later, life has become extremely difficult for the [Syrian refugee] family

““After corona there’s no food anymore. You go to get produce but you come back because you can’t afford it.””

https://www.france24.com/en/20200620-syrian-refugees-in-lebanon-after-corona-there-s-no-food-anymore


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On top of war and the coronavirus pandemic, Yemen faces looming economic disaster as a crisis gripping its main benefactor Saudi Arabia dents remittances and leaves state coffers running dry

“Saudi Arabia may also be reassessing its role as what observers call a “regional ATM” after its expensive intervention in Yemen produced few tangible gains.”

https://www.bangkokpost.com/world/1939080/saudi-downturn-deepens-yemens-economic-despair


The Iranian rial fell to its lowest ever rate against the U.S. dollar on the unofficial market on Saturday, a day after Tehran’s rebuke by the U.N. nuclear watchdog increased the pressure from U.S. sanctions and the coronavirus outbreak.”

https://news.trust.org/item/20200620135430-59036


Russia’s central bank slashed interest rates on Friday to the lowest level since the collapse of the Soviet Union, pledging to consider the need for even lower rates amid waning inflationary risks and a shrinking economy.”

https://business.financialpost.com/pmn/business-pmn/russia-cuts-rates-to-record-low-amid-coronavirus-crisis


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This month’s outbreak of coronavirus in Beijing has prompted concerns that a second wave of the pandemic could upset China’s nascent economic recovery

““Even without a Wuhan-style shutdown, the local economy will suffer and fears of contagion will propagate,” said Aidan Yao, an economist at Axa Investment Managers in Hong Kong. Daniel Shane.”

https://www.ft.com/content/fd682c9c-7dbc-4dcc-bffe-509a10c96a6f


Renowned Chinese epidemiologist Zhang Wenhong (張文宏) said Saturday (June 20) that the coronavirus pandemic is likely to last until the end of 2020 or the beginning of 2021 at the earliest, and he warned that a resurgence of the disease in the fall is inevitable.”

https://www.taiwannews.com.tw/en/news/3951319


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After North Korea closed its border with China following the outbreak of COVID-19, North Korea-China trade, including both imports and exports, has fallen to practically zero. ..

“…the combination of economic sanctions and the coronavirus pandemic has plunged the North Korean economy into an unprecedented crisis.”

http://english.hani.co.kr/arti/english_edition/e_northkorea/950216.html


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The Indonesian economy faces gloomier skies this year as the Covid-19 (coronavirus) pandemic has yet to show any signs of subsiding, forcing government officials, the central bank, economists and international institutions to project weaker and weaker growth as the outbreak unfolds.”

https://www.thestar.com.my/aseanplus/aseanplus-news/2020/06/22/clouds-thicken-over-indonesias-economic-growth-as-uncertainties-persist


Brazil, the country worst hit by coronavirus after the United States, officially passed 50,000 coronavirus deaths on Sunday, a blow for a country already grappling with more than one million cases, rising political instability and a crippled economy.”

https://www.aljazeera.com/news/2020/06/50000-dead-brazil-coronavirus-outbreak-deepens-200622002933861.html


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Oil revenue, the financial lifeline of Venezuela, is quickly drying up, adding to the growing instability of Nicolas Maduro’s embattled regime.

Crude exports that once accounted for 95% of foreign currency inflow to the country tumbled by almost half this month, after hitting a 73-year low in May… Oil storage tanks in the country are nearly full…”

https://www.japantimes.co.jp/news/2020/06/21/world/politics-diplomacy-world/venezuela-oil-nicolas-maduro/#.Xu8dDGhKjIU


In an extraordinary case that will have profound economic, political and social consequences for the impoverished South American country, the Banco Central de Venezuela (BCV) is seeking an order that would force the Bank of England to release $1bn of its gold.”

https://www.theguardian.com/world/2020/jun/20/fate-of-1bn-in-venezuelan-gold-hangs-in-balance-at-high-court


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As shortages become more acute in the communist-run country, some Cubans fear a return to the Special Period of the 1990s, after the Soviet Union collapsed

Cuba’s economy, like other countries around the world, has been hit by the pandemic. The World Bank has projected Latin America’s GDP will contract by 7.2 percent this year. But in Cuba’s case, the economy was already fragile before the pandemic.”

https://www.nbcnews.com/news/latino/cuba-families-fear-shortages-will-worsen-coronavirus-affects-economy-n1230816


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Three influential figures in Costa Rica’s tourism sector asked the government to set a firm date for reopening the nation’s borders to international tourism.

In a letter published this week by the Costa Rican Hotel Chamber (CCH), its president, Javier Pacheco, said the hotel sector “can no longer endure” the economic crisis caused by the coronavirus pandemic.”

https://ticotimes.net/2020/06/19/tourism-sector-can-no-longer-endure-economic-crisis-asks-for-borders-to-reopen


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Global action is being urged to stop a humanitarian crisis unfolding at sea. Crew changes on merchant ships have been stopped for months, putting those onboard at risk of depression and injury.

Industry leaders are calling for stranded seafarers to be recognized as key workers, have visas waived and given access to flights to return home.

“Supply systems and the global economic recovery are also at stake, as shipping is the lifeblood of the global economy, transporting 90% of global trade.”

https://www.weforum.org/agenda/2020/06/shipping-seafarers-covid-19-mental-health-supply-systems/


Five cruise ships have been detained in UK docks after trapped crew went on hunger strike over unpaid wages amid coronavirusCoronavirus lockdown meant many crew members couldn’t return home despite being on board for more than a year in some cases.”

https://www.dailymail.co.uk/news/article-8442675/Five-cruise-ships-detained-Essex-Bristol-crews-hunger-strike.html


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Oslo-listed MPC Container Ships has warned it could go bankrupt and will face severe liquidity strains from as early as next month.

“In a presentation to bondholders on Friday, the company, one of the fastest growing boxship tonnage providers in recent years, said it will need to sell ships or risk going bankrupt unless it can seal a $200m loan soon.”

https://splash247.com/mpc-container-ships-flags-bankruptcy-risk/


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As they wait to see whether they’ll ever get back in the cockpit, pilots have turned to a mishmash of odd jobs and second-choice careers

““We will do anything we can by problem solving and managing risks to protect our families,” said Chris Riggins, a pilot for Delta Air Lines Inc. and a spokesman for the Air Line Pilots Association. “If that means working in a grocery store, pilots will do it.””

https://www.moneyweb.co.za/news/international/what-pilots-do-when-a-pandemic-grounds-half-the-worlds-planes/


According to Morris, “If airlines started charging ticket prices at a level to make profit, with load factors that may be only 40 percent, they would have to double the fares. They are damned if they do and damned if they don’t. If they sat tight and fly no flights, eventually, they would go bankrupt anyway.””

https://airlinegeeks.com/2020/06/21/more-mainline-commercial-aircraft-are-now-flying-than-stored/


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“…the amount of stored oil that needs to be burnt through before there is room for producers to pump more is huge

By the end of this month, global stockpiles are expected to be about 2.7 billion barrels above where they were at the end of 2013. That’s nearly four times the excess seen after the first shale boom in early 2017, when oil prices collapsed toward $25 a barrel.”

https://www.bloomberg.com/opinion/articles/2020-06-21/buyer-beware-oil-stockpiles-are-enormous


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US shale companies could be forced to write down at least $300bn of their assets in the second quarter, as operators begin to account for the oil-price collapse on their balance sheets, according to a new study.

“The huge impairments [are equivalent to] about half the net value of the companies’ property, plant and equipment…”

https://www.ft.com/content/0a91a723-abf2-4905-a370-a9ab1e33ba33


If the oil prices remain below $40 per barrel until the end of 2020, more than 50 percent of the oilfield services and equipment companies [Arabian Gulf] are likely to face bankruptcies this year, according to a senior energy expert.”

https://www.zawya.com/mena/en/business/story/INTERVIEW_Over_half_of_all_oilfield_services_firms_likely_to_face_bankruptcies_in_2020_BCG-ZAWYA20200622045321/


Defaults in China’s dollar bond market are accelerating amid the economic fallout from the coronavirus. Hilong Holding Ltd., an oil equipment and services company, became the latest to default on Monday when it failed to repay a $165 million dollar bond.”

https://www.bloomberg.com/news/articles/2020-06-22/chinese-oil-firm-hilong-defaults-on-165-million-dollar-bond


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Beijing’s latest coronavirus outbreak shows the threat the pathogen poses to food supply after it forced the closure of the city’s largest wholesale market for meat, fish, fruit and vegetables

“In Europe, South America and the United States, meat processing plants have been hotspots for the spread of the virus, infecting thousands of workers and causing food security jitters.”

https://www.scmp.com/news/china/article/3089955/coronavirus-food-related-outbreaks-raise-flags-about-supply-security


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One of the surest signs of the financialization of everything and the growing disconnect of finance from reality is the credit default swap (CDS). The CDS is essentially insurance for loans and bonds. The buyer pays the seller a premium every month. If the instrument insured defaults, the seller provides a predetermined payment to reimburse the CDS buyer.

“Now here’s the weird thing: An investor doesn’t even have to own the loan or bond to insure it. It’s like me taking out an insurance policy on your home against fire when I have no ownership or interest in the home. In fact, I have every incentive to make sure your house burns down. Do you see any problem with that?”

https://www.resilience.org/stories/2020-06-21/the-financialization-of-the-end-of-the-world/


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It’s the banking world’s version of the rich getting richer. A record $2 trillion surge in cash hit the deposit accounts of U.S. banks since the coronavirus first struck the U.S. in January, according to FDIC data.

“The wall of money flowing into banks has no precedent in history.”

https://www.cnbc.com/2020/06/21/banks-have-grown-by-2-trillion-in-deposits-since-coronavirus-first-hit.html


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Central banks have unleashed trillions of dollars in stimulus, using their full recession toolkits to fight what could be the worst peacetime downturn in 100 years. Governments have followed suit with trillions of additional dollars. In the face of an uncertain future, what’s left for policymakers to do?

“It’s a question economists and investors are asking with increased urgency…”

https://edition.cnn.com/2020/06/21/investing/stocks-week-ahead/index.html


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“It can be said without fear of contradiction that the government’s strategy for dealing with the economy’s pandemic collapse is utterly simple: Throw money at the problem. Lots of money…

This was the mother of all bailouts — and it’s not finished yet.

https://www.washingtonpost.com/opinions/the-cares-act-was-the-mother-of-all-bailouts–and-its-not-finished-yet/2020/06/21/26572704-b259-11ea-8f56-63f38c990077_story.html


Two months after its dire predictions of the steepest recession in almost a century, the International Monetary Fund will release new global economic forecasts this week that will probably look even worse.”

https://uk.finance.yahoo.com/news/wreckage-global-economy-now-looks-020000255.html


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