Treasury Secretary Steve Mnuchin to Seek $850 Billion in Coronavirus Stimulus -Report

Treasury Secretary Steve Mnuchin will ask Congress for $850 billion to tackle the economic impact of the coronavirus pandemic, Politico reported Tuesday, sending Wall Street futures higher.

The ‘phase 3′ stimulus would build upon the $8.3 billion earmarked for testing and near-term support earlier this month and the multi-billion dollar package passed by the House of Representatives late last week. The $850 billion figure was also cited in a report from the Washington Post.

Democratic Senator Chuck Schumer, meanwhile, is set to unveil a $750 billion package focused on hospitals, unemployment insurance, Medicaid funding and federal loans payment forbearance.
The Politico report followed a late Monday Tweet from President Donald Trump which suggested the U.S. government would “powerfully” support domestic industries hit by the coronavrius downturn.

The report also added a significant bid to U.S equity futures, with contracts tied to the Dow Jones Industrial Average now suggesting a 510 point opening bell gain for the 30-stock index, which plunged nearly 3,000 points yesterday to its lowest level since April 2017.