US: Demonstrations against racism to speed a V-shaped recovery

Riots could assist US V-shaped recovery by ending the economic paralysis as demonstrations will speed the end of social distancing and business restrictions, in the opinion of FXStreet’s analyst Joseph Trevisani.

Key quotes 

“The US economy may be headed for a V-shaped recovery aided ironically enough by the demonstrations that have made nonsense of the continued social and business restrictions and the riots whose damage will require massive spending to repair.”

“The American consumers’ habits of several generations are not going to disappear because of a transitory and induced economic slowdown. The longer the resumption of life goes on the stronger the drive will become.”

“If China has succeeded in quelling the pandemic and reopening its economy there is every reason to expect the West will also.”

“The hardest estimate to make in economics is the one for Keynes’ animal spirits, the emotion that provides hope and confidence in the future. Betting against the US consumer has long been, in the British phrase, a mug’s game.”