Coronavirus briefing: A record increase in global coronavirus cases
Coronavirus briefing: A record increase in global coronavirus cases

The epidemic

  • The spread of the coronavirus pandemic is “still accelerating”, according to the WHO, which reported a record increase in global coronavirus cases on Sunday.
  • A surge in cases continues in India. In South Africa, the number of cases has doubled during the past two weeks. In Brazil, new cases remain high, but the trend is flattening.
  • The overall trend in Europe remains stable.
  • In the US, new cases continue to increase, but the rate of increase has fallen in many states. Deaths have just started to increase and will probably continue to rise for a while.
  • Last week, new cases in Sweden decreased notably. The decrease may mean that the impact of the increased testing in late May is now starting to disappear.
  • In Latvia, the number of new coronavirus cases has started to increase again. Last week, only six of the cases were confirmed as being imported from abroad. Other cases are potentially linked to going out to restaurants and bars.

Policy

  • In Finland, travel restrictions were lifted to many countries starting from today. Restrictions will continue for travel between Finland and Sweden, however.
  • Norway will lift travel restrictions to and from more than 20 European countries from 15 July.
  • In Latvia, restrictions for catering venues have been re-imposed. The restrictions limit the number of people from different households to be present at the same table in restaurants.
  • EU member states received a new proposal of the common stimulus package last Friday. The sizeof the package, as well as the balance of grants and loans, remained unchanged, however. EU leaders will meet in Brussels on Friday to straighten their differences on the planned package.
  • The ECB has its monetary meeting this Thursday and will likely keep its policy and forward guidance unchanged. However, this week all eyes will focus on Brussels, instead of Frankfurt. More on the ECB.

Economic effects

  • The Swedish central government payments surprised and resulted in a deficit of SEK 56.5 bn in June, SEK 13.9 bn smaller than the Debt Office’s forecast. This is mainly explained by higher tax income.
  • German industrial production rose by a record of 7.8% in May. However, this was less than most economists had anticipated. 


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


Sonja Liukkonen 
Junior Economist 
Swedbank AB (publ) 
FI-00100 Helsinki 
Phone: +358 400 98 21 59 
research.swedbank.se 


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