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From Thailand to Kenya and Argentina to Britain, coronavirus lockdowns abruptly left millions of people… unable to earn enough money to feed themselves and their families.

“This is a new poverty and three months ago it did not exist,” said Angela Frigo, secretary general of the Brussels-based European Food Banks Federation.

“Due the pandemic and lockdown measures, some persons who had a good or normal financial situation now find themselves in a situation of food insecurity,” said Frigo, whose non-profit works with food banks and organisations in 29 European nations.”

https://news.trust.org/item/20200706113353-pqcfl/


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This period of national crisis has not inspired unity. Americans are aiming their anger at each other, talking past each other, invoking race, class and culture. They cannot even agree on the need to wear a mask to protect against a virus that has killed more than 130,000 Americans.

These forces are converging as the country hurtles toward a convulsive presidential election.”

https://www.washingtonpost.com/health/america-disrupted-troubles-cleave-a-nation-and-a-city/2020/07/07/0ba028b6-c019-11ea-8908-68a2b9eae9e0_story.html


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New York City, hit hard by the coronavirus pandemic, is mired in the worst economic calamity since the financial crisis of the 1970s, when it nearly went bankrupt.

“The city is staggering toward reopening… Even so, the city’s unemployment rate is hovering near 20 percent — a figure not seen since the Great Depression.”

https://www.nytimes.com/2020/07/07/nyregion/nyc-unemployment.html


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Hundreds of thousands of jobs have been lost [Hawai’i]. Thousands of businesses have shut down, some for good. Tax revenues have plummeted by hundreds of millions in just months since COVID-19 arrived in Hawai‘i.

“And Gov. David Ige on Monday said the worst is yet to come.”

https://bigislandnow.com/2020/07/06/looming-financial-crisis-ahead-for-hawaii-as-tax-revenues-plummet/


With the coronavirus employment retention scheme currently supporting 9m jobs, but due to end in October, there are fears the UK could see joblessness soar to greater levels even than under Margaret Thatcher.”

https://www.theguardian.com/society/2020/jul/07/tory-ministers-from-1980s-fear-return-to-mass-unemployment


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Commerzbank CEO Martin Zielke and board chairman Stefan Schmittmann offered to resign Friday, bowing to ratcheting pressure from the bank’s second-largest shareholder, Cerberus, which made clear it remained unimpressed by the bank’s plan to return to profitability.”

https://www.bankingdive.com/news/german-banks-Commerzbank-Cerberus/581067/


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German prosecutors said Monday (July 6) they have made a new arrest related to the spectacular collapse of payments provider Wirecard, which is shaping up to be the country’s biggest financial fraud scandal.

“The managing director of Cardsystems Middle East FZ-LLC, a Dubai-based subsidiary of Wirecard, was placed under arrest on suspicion of serious fraud, said prosecutors.”

https://www.straitstimes.com/business/companies-markets/germany-makes-new-arrest-in-wirecard-collapse


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Italy plans to dramatically expand public investment, focusing on boosting growth rather than reining in debt as the government plots its way out of the worst recession in a century

“Italy’s new investment plan takes into account grants and loans from the European Union’s aid programs that are still to be approved and will be discussed by leaders at a summit next week.”

https://www.bloomberg.com/amp/news/articles/2020-07-06/italy-bets-on-public-spending-to-grow-out-of-its-crippling-debt


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While Sub Saharan Africa’s growth projection looks bad, a key longer-term concern is how real per capita GDP in the region is expected to contract by as much as -5.4% this year. The IMF says this will take the per capita GDP 7 percentage points below the level projected last October.

“In fact, it could effectively wipe out nearly ten years of progress made in reducing poverty in the region.”

https://qz.com/africa/1877373/africas-economy-will-recover-slower-than-expected-imf/


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Zimbabwe government is struggling with an economic and political crisis that has only been worsened by a lockdown. The measure was introduced to slow the spread of the coronavirus. Prices of goods in supermarkets have soared compared to what they were last December.

“Tensions are brewing while the country is under lockdown…”

https://www.bbc.co.uk/news/av/world-africa-53283747/coronavirus-lockdown-zimbabwe-s-political-and-economic-crisis


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Ethiopia, Africa’s second-largest country by population, is not only struggling to avoid a war with Egypt but also to pull itself out of the economic crunch caused due to the ongoing pandemic. Apart from this, it is reportedly on the verge of transitioning to democracy or descent into violence.

“On July 6, at least 166 people were killed…”

https://www.republicworld.com/world-news/africa/ethiopia-on-verge-of-violence-amid-escalating-political-crisis.html


Demonstrators chant “We want to eat, we want to live,” as the economic hardship in Gaza takes a growing toll.”

https://worldisraelnews.com/wave-of-suicides-grip-gaza-strip-as-enclave-nears-economic-collapse/


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With the reopening of Beirut airport on July 1 after more than three months of closure over coronavirus concerns, a massive brain drain is occurring.

“”People are getting really desperate. The only way out is to leave.””

https://www.alkhaleejtoday.co/international/5016144/%E2%80%98There-is-no-future%E2%80%99-scores-of-Lebanese-flee-economic-crisis.html


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“Desperate to afford her daughter’s overseas university fees, 58-year-old retired Iranian teacher Maryam Hosseini withdrew all her savings from the bank to buy U.S. dollars.

“It was not enough. With three years of study still to do, her daughter is heading back home, her future now on hold.”

Hosseini’s tale of growing poverty is an increasingly familiar one among Iranians…”

https://uk.reuters.com/article/uk-iran-economy-rial-analysis/currency-crisis-impoverishes-iranians-strains-economic-defenses-idUKKBN2480NL


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“…young [Indian] people who have invested in higher education are finding it increasingly hard to find work, potentially affecting their future prospects and potentially those of future generations.

“The pandemic is making this issue all the more acute.”

https://www.aljazeera.com/ajimpact/generation-pandemic-india-youth-face-jobless-future-200706052703869.html


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A squad of gun-toting police officers patrolled Myanmar’s sacred site of Bagan under the cover of night, taking on plunderers snatching relics from temples forsaken by tourists due to COVID-19 restrictions…

“Times are hard in an area dependent on tourism.”

https://www.taipeitimes.com/News/world/archives/2020/07/07/2003739514


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Thailand has been cited as a success story in containing the coronavirus outbreak, having gone more than 40 days without any local transmission of Covid-19. Yet its economic outlook is the darkest in Asia.

“Gross domestic product is forecast to contract 8.1% this year, according to the Bank of Thailand.”

https://www.bangkokpost.com/business/1947252/thailands-economic-outlook-worst-in-asia-analysts


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The second quarter of 2020 could be the worst three-month stretch on record for Macau’s six concessionaires.

“That’s as the special administrative region’s (SAR) gaming industry remains hindered by travel restrictions keeping gamblers away from the casino center.”

https://www.casino.org/news/macau-q2-numbers-could-be-worst-ever-says-morgan-stanley/


Malaysia is set to cut its benchmark interest rate to its lowest level on record as it seeks to support the reopening economy amid soaring unemployment and the threat of recession.”

http://archive.vn/5j3Vr#selection-2661.0-2661.180


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The oil price crash that Russia helped create, along with the coronavirus-driven global recession, will result in Russia’s economy shrinking this year by the most in 11 years, the World Bank said in its latest economic report on Russia…

“The COVID-19 pandemic has weakened the Russian ruble and has resulted in lower fiscal revenues for the country, according to the bank.”

https://oilprice.com/Energy/Energy-General/Oil-Price-Crash-Causes-Major-Recession-In-Russia.html


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U.S. crude supply is falling at its quickest pace ever… Weekly U.S. output recently fell to 10.5 million barrels a day, down from a near-record of 13 million barrels a day from late March, government data show.

“With companies from Chevron Corp. to Continental Resources Inc. shutting in productive wells in response to the coronavirus, the slide marks the biggest 11-week drop on record in figures going back to 1983.”

https://www.wsj.com/articles/behind-oils-rise-is-a-historic-drop-in-u-s-crude-output-11594027801


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These days, the Bakken is looking like anything but a boom.

“Drilling in the once-prolific shale formation straddling North Dakota, Montana and parts of Canada has all but halted — another victim of the pandemic that sapped fuel demand worldwide.”

https://www.bnnbloomberg.ca/the-one-time-heart-of-shale-may-never-boom-again-with-dakota-access-shut-1.1461449


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Global oil demand could fall by 2.5 million barrels per day as coronavirus cases surge in several countries, including the U.S., according to a new report.

“If coronavirus-stricken regions impose new restrictions on business and travel, global oil demand could fall to 86.6 million barrels per day, down from the current 89 million barrels per day, a report from Rystad Energy said.”

https://www.msn.com/en-us/money/markets/global-oil-demand-could-fall-by-25-million-barrels-a-day-as-coronavirus-cases-surge/ar-BB16oyLy


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Growth in company profits has slumped in recent times as the worldwide economy has cooled. Investors need to brace themselves for a shocking annual fall in 2020 too as the Covid-19 outbreak weighs, a report shows…

“According to the asset manager corporate earnings will sink by more than a fifth (22%) year on year…”

https://www.forbes.com/sites/roystonwild/2020/07/06/global-dividends-could-collapse-34-in-2020-profits-to-fall-by-a-fifth–janus-henderson/#584666102549


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China’s stock market recorded its biggest rally in more than a year on Monday after state media encouraged investors to pile into the market and reap the benefits of a post-coronavirus economic boom.

State-owned Shanghai Securities News ran a story on Friday titled “Hahahahaha! The signs of a bull market are more and more clear.””

https://www.ft.com/content/6a26f8c0-5538-4605-a64f-dce5a08d0600


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Markets, which we have come to view as all-encompassing judges of risk and opportunity, are reading this crisis wrong. Sharemarket optimism should be ignored. Its high-flying mood is nothing more than a punt on the flow of free money.”

https://www.ekathimerini.com/254353/opinion/ekathimerini/comment/markets-are-mistaken-the-new-normal-is-here-to-stay


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