- House of Representatives passes a $3 trillion COVID-19 relief bill.
- U.S Federal Reserve balance sheet surges past $6.9 trillion
On Friday the House of Representatives passed a $3 trillion COVID-19 relief bill. The HEROES ACT, a 1,800-page bill among the details, the bill will provide additional relief to small businesses, individuals, and local governments. The bill also includes a second round of the headline-making $1200 stimulus checks.
However, while the bill has passed in the House of Representatives, the Republican-controlled senate poses challenges for the $3 trillion bill.
Furthermore, the U.S. Treasury Department has announced to borrow nearly $3 trillion to continue COVID-19 relief programs. With COVID-19 cases continuing to bring the global economy to a halt, the Treasury Department also plans to borrow another $677 billion in the latter half of the year.
Federal Reserve Balance Sheet Surges
All of this comes as the Federal Reserve Balance Sheet surges past $6.9 trillion. This equates to a $3.1 trillion increase from just nine months ago. As the Federal Reserve balance sheet surges, many have drawn interest to limited inflation assets like gold and cryptocurrencies.
To put it into context, during the Financial Crisis of 2008, the Federal Reserve balance sheet rose $2.2 trillion, far less than the current increase due to coronavirus.
Disclaimer: Content displayed on thecryptoassociate.com is not investment advice. Investors should do their own research before investing in digital assets or anything displayed on this site. The Crypto Associate does not recommend trading any sort of investment in cryptocurrencies and digital assets. The Crypto Associate is not responsible for any losses incurred due to the buying or selling of cryptocurrencies displayed on this site. All content is for informational purposes only. The Crypto Associate does not endorse, affiliate or represent any third-party links including advertisements. The Crypto Associate participates in affiliate marketing. Read the full disclaimer