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These are the 6 relief tools major countries are using to fight an inevitable coronavirus recession

Ben Winck   

These are the 6 relief tools major countries are using to fight an inevitable coronavirus recession
Stock Market1 min read
Recession coronavirus Buenos Aires Argentina
  • Central banks and governments around the world are turning to a slew of economic relief tools to curb the coronavirus's fallout.
  • Several trillion dollars worth of stimulus are set to pad G-20 economies in the coming weeks as the outbreak stifles consumer activity and threatens a deep global recession.
  • Here are the six policy tools being used to keep economies afloat from the coronavirus's economic toll, from interest rate cuts to short-selling bans.
  • Visit the Business Insider homepage for more stories.

Governments around the world are employing a wide range of policy tools to lift their economies as the coronavirus buffets supply and demand.

Trillions of dollars are being put to work across G-20 nations through stimulus measures, central bank easing, and targeted relief packages. Several banks now expect a global recession to arrive in the first half of 2020. Economists making such calls point to relief measures as a key factor for determining the length and depth of a worldwide downturn.

Financial markets have so far been less than impressed by stimulus measures. US stocks sit roughly 30% below their mid-February peak, while Treasury bonds maintain historically low yields as investors crowd safe-haven assets.

Volatility has slightly tapered off in recent sessions as governments boost their economic relief efforts, but the VIX index - Wall Street's preferred volatility gauge - remains at its highest level since the financial crisis.

Data revealing the effectiveness of each nation's stimulus won't be available for weeks, leaving analysts to mull which tools will best protect economic activity.

Here are the six actions being taken by major countries to curb the coronavirus's economic fallout.

Read more: Goldman Sachs pinpointed these 15 must-own stocks it says are best positioned to weather an inevitable coronavirus recession


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