Rosy US unemployment numbers could suddenly become a lot darker next month, Rick Sanchez tells Boom Bust

The US has registered the lowest number of weekly initial jobless claims since mid-March. They have fallen below one million for the first time since the Covid-19 pandemic began.

Boom Bust talks to the host of the News with Rick Sanchez to find out what effect this will have on the global economy, and if this trajectory is likely to continue going forward.

It’s important to understand what will happen when a lot of the government programs or the so-called ‘helicopter money’ end, he says.

Statistics showed that 5.1 million Americans have requested not to pay their mortgages, meaning that, right now, there’s $890 billion in unpaid principal. Just 6.4 percent of Fannie May mortgagees are currently making payments.

What’s going to happen when all of the government programs end, when landlords make their tenants pay their rent, when people finally have to pay their mortgages, he asks. “All of this could happen within the next month and then these rosy numbers that we’re seeing could suddenly get a lot darker.”

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