
U.S. Economic News
June 8, 2020
U.S. News
The Financial Times reports that the rise in overworked and stranded crew aboard international shipping vessels due to coronavirus-related travel restrictions poses an increasing threat to global trade flows. More than one-fifth of the world’s commercial vessel crew have been affected by virus restrictions, and with 80% of global trade by volume carried by seafaring vessels, the shipping industry has warned that the resulting supply chain disruptions could pose a major threat to the global economic recovery. FT
According to the Wall Street Journal, Fed officials are considering whether to use unlimited Treasury purchases to cap certain yields at low levels, a WWII-era policy tool that would reinforce the central bank’s commitment to hold interest rates near zero for the foreseeable future. The U.S. central bank is closely monitoring the impacts of a rate cap recently set by Australia’s central bank, which it has so far managed to maintain without significant asset buying. WSJ