Coronavirus is the ideal excuse for governments to blow the budget

The world's current governments didn't really need an excuse to go on a spending spree. But in the coronavirus epidemic, they've now got one. Expect to be showered with cash, says John Stepek.

Prepare for QE for the people © Getty
(Image credit: © 2020 Bloomberg Finance LP)

What’s the latest on the coronavirus? The US market had a nice bounce yesterday, but that, it seems, was as much to do with investors being relieved that Joe Biden rather than Bernie Sanders will be going up against Donald Trump in November 2020.

As I keep saying, all politics is local and outsiders are not very good at grasping the nuances. So I won’t comment any further on US politics. (But it wouldn’t surprise me if everyone gets the collywobbles again next time Sanders sees a poll flip in his favour.)

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John Stepek

John Stepek is a senior reporter at Bloomberg News and a former editor of MoneyWeek magazine. He graduated from Strathclyde University with a degree in psychology in 1996 and has always been fascinated by the gap between the way the market works in theory and the way it works in practice, and by how our deep-rooted instincts work against our best interests as investors.

He started out in journalism by writing articles about the specific business challenges facing family firms. In 2003, he took a job on the finance desk of Teletext, where he spent two years covering the markets and breaking financial news.

His work has been published in Families in Business, Shares magazine, Spear's Magazine, The Sunday Times, and The Spectator among others. He has also appeared as an expert commentator on BBC Radio 4's Today programme, BBC Radio Scotland, Newsnight, Daily Politics and Bloomberg. His first book, on contrarian investing, The Sceptical Investor, was released in March 2019. You can follow John on Twitter at @john_stepek.