Coronavirus briefing: Concern mounts over second wave in the US
Coronavirus briefing: Concern mounts over second wave in the US

The epidemic

  • Case growth rates remain high in India and Brazil. Case growth remains stubbornly fast in large parts of Latin America, which the WHO highlighted as a deep concern.
  • Europe’s growth rate has fallen below 0.5% and data continues to look broadly positive, with no second wave due to eased restrictions so far. Daily cases have continued to fall in the UK.
  • Deaths have continued to decline in the US and the aggregate picture shows improvement, but relatively fast case growth continues in several states. Hospitalisations and case data also suggest a potential rebound in many states such as Texas, California, Arizona and Florida.
  • Sweden’s new cases have fallen back to previous levels after a spike at the end of last week.
  • Sweden’s deaths recoiled down and still appear to have a downward trend, while the number of patients in hospitals and intensive care has been declining slowly.

Policy

  • The EU foreign policy chief commented that the EU was making plans for a gradual and partial reopening of its common border for travel from the rest of the world from July 1 onwards.
  • Germany will remove travel restrictions for all EU countries from next week. A two-week quarantine requirement will apply on arrivals from Sweden, however.
  • Austria removed quarantine restrictions for incoming travelers from 30 European countries, including Sweden.
  • In Sweden, medicine for cystic fibrosis is being tested for coronavirus treatment and appears to have helped patients avoid the need for respirator treatment. A larger study with a control group will be conducted.
  • The Fed unanimously left its policy rate unchanged at 0-0.25% and expects it to remain at this level until at least end-2022, read more here.

Economic effects

  • Swedish household consumption fell by 10% in April compared to the same month last year. The decline was broad but spending on transport and hotels & restaurants weighted the most, read more here


PDF-Document Read the full analysis/report here (pdf)


Maija Kaartinen 
Economist 
Swedbank AB (publ) 
SE-105 34 Stockholm 
Phone: +46 8 700 92 73 
research.swedbank.se 


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