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- Coronavirus: California renewed lockdown measures to weigh on economic recovery – OCBC
Coronavirus: California renewed lockdown measures to weigh on economic recovery – OCBC
FXStreet reports that US lockdown risk threatens H2 economic recovery as California closes indoor activities in bars, restaurants, zoos and museums statewide as COVID-19 cases surge, Wellian Wiranto from OCBC Bank reports.
“California, the most populous state in the US, announced a rollback in its reopening plan due to covid-19 resurgence fear. All bars, zoos and museums are now closed again, and people cannot dine indoors anymore. Malls, gyms, and other non-essential businesses there are shut.”
“California contributes nearly 15% of the US GDP. The fact that it is reentering a lockdown, in and of itself, would weigh down on the hopes for H2 recovery of the US (and global) economy. While other hotspots of Florida and Texas – which together account for 14% of US GDP – are resisting massive lockdowns so far, further virus upticks there may force their hands.”
“Overall, even as the world has just started to see some reopening uplift, the risk of having to shut down to save lives is getting very real once again, unfortunately.”
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