Space Travel News  
ENERGY NEWS
'Go big': Biden to launch sweeping infrastructure plan
By Jerome CARTILLIER
Washington (AFP) March 30, 2021

Asian markets track US losses, Biden spending plan in focus
Hong Kong (AFP) March 31, 2021 - Asian markets slipped Wednesday following a soft lead from Wall Street, while focus turns to the US where Joe Biden is expected to unveil his latest multi-trillion-dollar recovery plan for the world's top economy.

While regional equities have enjoyed a run of buying this week thanks to optimism about the global economic recovery and vaccinations, trading floors continue to be worried by fears that rebound will stoke inflation and in turn force central banks to hike interest rates.

The issue has now reached a point where dealers are spooked by good news, with the possibility of more government spending forcing benchmark 10-year US Treasury yields -- a gauge of future borrowing costs -- to almost double since the turn of the year.

Eyes will be on yields later in the day when Biden is due to announce an infrastructure programme that some reports say could run as high as $4 trillion, which would require more borrowing and likely tax hikes.

Axi strategist Stephen Innes also pointed to data Wednesday showing China's factory activity in March grew much more than expected, reinforcing the view that the Asian powerhouse is well on the road to recovery.

"One would normally expect risk assets to find some legs as China economic data remains steady with the non-manufacturing PMI data exceeding," he said in a note.

"But we are in such an odd policy paradox right now, globally. Stronger data in China feeds into the (People's Bank of China) normalising mantra, while robust data in the States directly leads to higher yields because data beats flame the fires of inflation.

"You are damned if you do, and you are damned if you don't, so chose your stocks wisely."

Hong Kong and Shanghai were both lower, while Tokyo was also dragged by financials after it emerged Mitsubishi UFJ Financial was among the lenders to take a hit from the collapse at Wall Street fund Archegos.

There were also losses in Singapore, Taipei, Manila and Jakarta, but Sydney, Seoul and Wellington rose.

The dollar held gains at a one-year high against the yen as the expected surge in economic growth sees money move out of the safe-haven Japanese unit.

Markets strategist Louis Navellier said markets were growing increasingly fearful that the record low rates and ultra-loose monetary policies that have helped fan a year-long rally were nearing an end.

"Because investors have been so well rewarded in a low-growth, low-rate, low-inflation economy for so long, the notion of this paradigm undergoing such a seismic shift in such a short period has caught much of the investing world flat-footed," he said.

Markets are also gearing for the release of key US jobs data, which will provide a guide to the state of the economy.

Atlanta Fed President Raphael Bostic said he expected the forecast recovery could mean that the addition of "a million jobs a month could become the standard through the summer".

It is a mantra that Joe Biden repeats at every opportunity: "Go big."

And this week, the US leader launches the second big offensive of his fledgling presidency: a massive infrastructure investment project, to be accompanied by tax hikes that remain to be defined but already have his political opponents up in arms.

In a sign of the importance he attaches to the issue -- which could be a central plank of his presidency -- he will speak Wednesday from the city of Pittsburgh, where he launched his campaign two years ago.

His predecessor Donald Trump tried to label him "Sleepy Joe," portraying him as a man lacking inspiration, but Biden wants to show he has a bold and reformist agenda.

Having already pushed an almost $2 trillion pandemic recovery plan through Congress, the figures being bandied about for his infrastructure plan reach as high as $3 or even $4 trillion.

The aim of the huge package is to "rebuild our economy and create better-paying jobs for American workers," said White House spokeswoman Jen Psaki.

The project revolves around a pledge Biden repeated a thousand times on the campaign trail to "Build Back Better:" a promise to modernize ageing infrastructure across the country, to meet the challenge of competing against China and to tackle the key issue of climate change.

The White House has remained tight-lipped so far about the details -- fueling speculation about the projects and how much they will cost -- but also about political strategy itself.

But one thing is certain: the Pittsburgh speech will be just the starting point for a bitter battle in Congress, with a very unpredictable outcome.

The Democratic Party's majority there is razor thin, and negotiations promise to be formidable, testing Biden's negotiating skills and his decades of expertise as a Washington insider.

- Buttigieg on the front line -

The idea of repairing or building roads, bridges, railways, ports and airports is appealing to the general public, especially since much of US infrastructure dates back to the 1950s and is generally considered to be dilapidated.

But beyond the constant refrain that "this is a subject on which Democrats and Republicans can agree," building a political consensus is no easy task.

Biden's two predecessors, Trump and Barack Obama, also had catchy slogans and made great promises, but the issue remained a dead letter.

And it keeps coming back to the same question: how to pay for it?

Biden's new transportation secretary Pete Buttigieg, who ran against him in the Democratic primaries, will be on the front lines of this battle, trying to ensure that this time, the stars are all aligned.

"I think that there's a tremendous opportunity now to have bipartisan support for a big, bold vision on infrastructure," the youthful politician said.

"Americans don't need a lot of selling to know that we've got to do big things when it comes to our infrastructure and the truth is, you can't separate the climate part from this vision because every road we fix, every bridge we build, we can either do it in a way that's better for the climate, or worse for the climate," he said.

Even if his enthusiasm is real, the task promises to be daunting. DJ Gribbin, an expert at the Brookings Institution who served as an adviser to Trump on infrastructure, said Biden would do well to learn from the mistakes of his predecessors.

The first step is to precisely define the role of the federal government, which in the overwhelming majority of cases does not own the infrastructure, Gribbin said.

At the same, there is the danger of the project becoming overly "technical" for the taste of most Americans, who tend to focus more on "tangible" questions, such as what will be the impact on their commute times, and will the potholes on their roads be fixed?

Unless he refines his approach, Biden's plan could face insurmountable odds in Congress -- and he, too, risks failure, said Gribbin.

"And the tradition of future presidential candidates wishfully promising trillion-dollar solutions to our nation's infrastructure problems will continue," he warned.


Related Links



Thanks for being here;
We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain.

With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords.

Our news coverage takes time and effort to publish 365 days a year.

If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceDaily Contributor
$5 Billed Once


credit card or paypal
SpaceDaily Monthly Supporter
$5 Billed Monthly


paypal only


ENERGY NEWS
Cities worldwide dim lights to mark Earth Hour
Buenos Aires (AFP) March 28, 2021
From Singapore to Buenos Aires, cities around the world turned off their lights Saturday to mark Earth Hour, with this year's event highlighting the link between the destruction of nature and increasing outbreaks of diseases like Covid-19. After starting in Asia, the call to action on climate change made its way around a planet reeling from the coronavirus pandemic. As the day came to an end, it was the turn of the Americas, where the lights dimmed at the Obelisk in Buenos Aires, Rio de Janeiro' ... read more

Comment using your Disqus, Facebook, Google or Twitter login.



Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle

ENERGY NEWS
ENERGY NEWS
For some scientists, Mars 2020 is a mission of perseverance

Swiss kids suit up for 'Mission to Mars'

Is there life on mars today and where

Mars helicopter Ingenuity could usher in new era of exploration

ENERGY NEWS
China plans to build research station on moon's south pole: chief designer

Skoltech and MIT explore human landing system architectures for Moon landings

A dose of Moonlight

Engineers propose solar-powered lunar ark as 'modern global insurance policy'

ENERGY NEWS
SwRI scientists help identify the first stratospheric winds measured on Jupiter

Jupiter's Great Red Spot feeds on smaller storms

Juno reveals dark origins of one of Jupiter's grand light shows

SwRI scientists image a bright meteoroid explosion in Jupiter's atmosphere

ENERGY NEWS
ASU scientists determine origin of strange interstellar object

SwRI researcher theorizes worlds with underground oceans support, conceal life

There might be many planets with water-rich atmospheres

How the habitability of exoplanets is influenced by their rocks

ENERGY NEWS
SpaceX Starship test flight fails

SpaceX aims to nail landing of Starship on fourth attempt

FAA streamlined launch and reentry rule takes effect

All 38 satellites launched on Russia's Soyuz reach orbit: Roscosmos

ENERGY NEWS
China advances space cooperation in 2020: blue book

China selects astronauts for space station program

China tests high-thrust rocket engine for upcoming space station missions

China has over 300 satellites in orbit

ENERGY NEWS
Large asteroid to (safely) zip past Earth

No threat to Earth as huge asteroid zooms past

The world's oldest crater from a meteorite isn't an impact crater after all

Scientists unearth meteorite from the birth of the solar system









The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.