“I think we’re getting close to an outcome,” says Republican Senate Majority Leader Mitch McConnell after US President Donald Trump was whisked away to hospital after contracting Covid-19. For weeks, the US Senate has been deadlocked over fiscal stimulus, with Democrats and Republicans disagreeing over the amount. But Bank of Singapore (BOS) Chief Economist Mansoor Mohi-uddin thinks Trump’s hospitalisation could pave the way towards a compromise. 

See also: Trump says on Twitter he, Melania tested positive for COVID-19

The signs for a new fiscal stimulus agreement look promising. Democrat Speaker of the House of Representatives Nancy Pelosi was on record during the weekend stating that the news of Trump’s condition could increase the urgency of approving further emergency aid. Democrats have been holding out for a US$2.2 trillion ($2.99 trillion), blocking a US$500 billion Republican stimulus package in September on grounds that it was an inadequate response to the downturn. 

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