Leaders of Global Economy Urge Caution Over Vaccine and Recovery Prospects

new video loaded: Leaders of Global Economy Urge Caution Over Vaccine and Recovery ProspectstranscriptBacktranscriptLeaders of Global Economy Urge Caution Over Vaccine and Recovery ProspectsJerome H. Powell, the Federal Reserve chair, and Christine Lagarde, the head of the European Central Bank, said it was “too soon” to assume that the global economy was out of danger despite the prospect of an imminent coronavirus vaccine.“The main risk we see today — we do see the economy continuing on a solid path of recovery. But the main risk we see of that, to that, is clearly the further spread of the disease here in the United States. We’ve got new cases at a record level. We’ve seen a number of states begin to reimpose limited activity restrictions, and people may lose confidence that it’s safe to go out. We’ve said from the beginning that the economy will not fully recover until people are confident that it’s safe to resume activities involving crowds of people. You mentioned the vaccine. So that is certainly good and welcome news for the medium-term, although significant challenges and uncertainties remain about timing, production, distribution and the efficacy for different groups. And from our standpoint, it’s just too soon to assess with any confidence the implications of the news for the path of the economy, especially in the near-term.” “What I think is going to be critically important going forward is that the policies that have been in place, which have been extremely helpful, both monetary policy and fiscal policy, help bridge over to the other side of the river and continue to support the economy. So that there is as little long-lasting damage as possible. But I don’t want to be exuberant about this vaccination because there are still uncertainty about the logistics, about the transportation, about the rolling out, about the fabrication.”Recent episodes in BusinessShow more videos from Business


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