Earlier on Tuesday, before Trump expected a stimulus deal after the election, a White House spokesman said he was confident a deal would be reached in the coming weeks, hopefully within weeks. There is only a week to go before Election Day.
The White House has finally confirmed what is increasingly clear in the markets: a new round of fiscal stimulus is likely to fail before the general election in early November.
At midday US stocks on Tuesday, US Eastern time, Trump said a deal on stimulus could be reached after the election. "after the election, we will have the best stimulus package so far," he said. "
Since then, among the three major u.s. stock indexes, the Dow and the s & p 500 have fallen, with the Dow falling slightly to 170 points and the s & p down nearly 0.2% at one point. The Nasdaq is still up about 0.5%. If this momentum is maintained, the S & P and the Dow will fall for two days in a row, hitting new lows this month.
Trump's comments follow a similar signal from the White House. 'We are confident that an agreement will be reached in the coming weeks, 'White House spokesman Alyssa Farah said earlier Tuesday. When pressed by the media whether it means that it will not be reached this week, Farah said, "We hope it will be in a few weeks. I don't want to say too much ahead of any formal statement." White House spokesman Kayleigh McEnany said in an interview on the same day that the chances of reaching an agreement before the election are slim.
On Monday, the White House and Democrats in Congress reached an impasse for three months over a new round of talks on fiscal stimulus against the epidemic. On Monday, U.S. Treasury Secretary Mnuchin and House Speaker Pelosi spoke on the phone for the first time since last Wednesday. The call between the two men still failed to resolve major differences over a new round of fiscal stimulus.
Drew Hammill, a Pelosi spokesman, said Mr. Mnuchin and Ms. Pelosi spoke for 52 minutes on Monday and were still unable to finalize language about COVID-19 's nationwide testing and tracking program. Democrats are still eagerly waiting for the Trump administration to accept the party's public health plan.
Although Hammill said Pelosi was still "optimistic" that a deal could be reached before the November 3 election, the media later commented that there were only eight days left before the election day and that the Senate was scheduled to recess later on Monday. When the senator left Washington, the White House and Democrats were still unable to reach a deal, extinguishing most hopes that Congress would vote on the new stimulus bill before the election and be signed by Trump.
Edit / emily