Buzz
Another week has passed, bringing with it even more devastating news regarding COVID-19. The U.S. has now reached over a million confirmed cases, with more than 60,000 fatalities in the country alone. It's been a tough week for everyone.
Despite the ongoing global crisis, there were a couple of stories that brought a glimmer of hope. While COVID-19 continues to overshadow much of the news, it isn't the only event unfolding—although it certainly dominates the conversation, almost like an unwelcome guest.
Here are some noteworthy events you may have missed, and fortunately, they include some positive news.
10. Saks Fifth Avenue Announces Additional Store Closures
Shopping malls in the U.S. were once a cornerstone of retail, but in recent years, they’ve been steadily declining. Many are purchased by corporations like RackSpace and repurposed into large office spaces, or they’re demolished to make room for new developments. While in-store shopping still happens, online shopping has taken a larger share, putting more pressure on physical stores. Malls are particularly feeling the effects, with anchor stores, the main draws for shoppers, suffering the most. Now, another well-known brand has filed for bankruptcy.
Saks Fifth Avenue has joined Macy’s, JCPenny, and Neiman Marcus in filing for bankruptcy, signaling further trouble for American malls. Anchor stores, such as Sears (also in bankruptcy) and others like Saks, once served as key destinations for shoppers, making them crucial for a mall’s survival. But these stores are now facing extinction. Saks filed for Chapter 11 bankruptcy after failing to make payments on two commercial mortgage-backed securities dating back to 2015. This missed payment affected 34 properties, including 10 Saks and 14 Lord & Taylor locations.
9. A Win for Gun Rights in New York
This week, the U.S. Supreme Court made several notable decisions, including one involving the Affordable Care Act, which dealt a blow to the GOP. Justice Sonia Sotomayor authored the majority opinion, stating, 'We conclude that §1342 of the Affordable Care Act established a money-mandating obligation, that Congress did not repeal this obligation, and that petitioners may sue the Government for damages in the Court of Federal Claims.' This ruling means the government owes over $12 billion to insurers as stipulated by the law.
The decision passed with an 8-1 majority, with Justice Alito being the lone dissenter. Another significant ruling from the court addressed gun rights, though it wasn’t a clear decision. In a 6-3 vote, the court issued an unsigned opinion regarding a New York City law that restricted a person’s right to carry a weapon outside the city limits to shooting ranges. However, since the law was modified after the challenge, the court found no need to further address the case, leaving the debate over gun rights in the U.S. to continue.
8. Prime Minister Boris Returns to Work
Last month, Prime Minister Boris Johnson contracted COVID-19 and spent nearly the entire six-week lockdown in isolation, with some time spent in intensive care. Fortunately, he survived the illness, and on Monday, he resumed work. His return is seen as a sign of hope for the United Kingdom, especially considering that Johnson was one of the most high-profile cases in the country, alongside Prince Charles, whose COVID-19 battle was less severe.
In more positive news for Johnson, he and his fiancée, Carrie Symonds, announced on Wednesday that they had welcomed a baby boy. A spokesperson shared that both mother and child are doing 'very well.' This marks the second time in under two months that Johnson publicly expressed his gratitude towards the National Health Service. He personally thanked the 'fantastic NHS maternity team' for their role in delivering the as-yet-unnamed baby. This is Johnson’s sixth child, and Symonds' first.
7. New Zealand Declares 'Elimination' of COVID-19
This Monday, some rare encouraging news regarding COVID-19 came from Ashley Bloomfield, New Zealand’s Director-General of Health. He announced that the country has 'eliminated' the virus, which doesn’t mean it’s entirely gone, but rather that the case numbers have dropped so significantly that the country has moved from a 'level four' to a 'level three' restriction. This progress was achieved thanks to rigorous contact tracing and other preventive measures.
The number of new COVID-19 cases in the country has dropped to single digits. With the help of contact tracing, the government has decided to relax restrictions in an effort to bring daily life back to normal. Ashley Bloomfield explained that this low number 'gives us confidence that we’ve achieved our goal of elimination, which — that never meant zero, but it does mean we know where our cases are coming from. Our goal is elimination. And again, that doesn’t mean eradication, but it means we get down to a small number of cases so that we are able to stamp out any cases and any outbreak that might come out.'
As a result of the relaxed restrictions, gatherings of up to ten people will be allowed, and beaches will be reopened. However, museums, gyms, and libraries will remain closed until further evaluation on May 11th.
6. US GDP Takes a Severe Hit
Heading into 2020, one of President Donald Trump’s major accomplishments was the country’s strong economic growth. The US had experienced a period of unprecedented growth, but the COVID-19 pandemic has upended that progress. As economic data was released on Wednesday, it was evident that the downward trend would persist. Estimates prior to the release ranged from -4% to -11%, and the final result showed a 4.8% contraction in the US GDP, fortunately on the lower end of predictions.
This marks the sharpest decline since the Great Recession over a decade ago and ends the longest economic expansion in US history. However, Wednesday's figures don’t fully reflect the economic impact of COVID-19, as they only cover the first quarter, which included the start of the lockdowns that stretched into April. Once the second-quarter GDP numbers are included, the economy could very well move from a recession into a depression. The largest contributor to the GDP decline was a 7.6% drop in consumer spending during the first quarter.
5. Kim Jong-Un: Where Is He?
Last week, it appeared that the elusive leader of North Korea, Kim Jong-Un, may have died following a botched surgery, but new information suggests otherwise. The details coming from the secretive state are scarce, and much of the news circulating is speculative and should be treated with caution. However, the media is working with what is available. During a national address, US President Donald Trump was asked about Kim, with whom he has previously claimed to have a strong relationship. Trump responded with the following:
“I can’t tell you exactly. Yes, I do have a very good idea, but I can’t talk about it now. I just wish him well, I’ve had a very good relationship with Kim Jong Un.”
While Trump’s statement didn’t reveal much about the US President's knowledge, other signs suggest that the North Korean leader is alive and well. A satellite image released by Maxar Technologies, taken on April 21st, showed activity at the Wonsan luxury complex, including Kim’s yacht and other signs that pointed to his presence. Kim’s last public appearance was on April 11th, and rumors about his health have been circulating ever since.
4. US to Acknowledge Annexation of West Bank
On Monday, the United States signaled its readiness to formally recognize Israel's annexation of occupied West Bank territories. In doing so, the US called on the newly-formed unity government to engage in negotiations with the Palestinians, who strongly oppose the annexation plan. Prime Minister Benjamin Netanyahu has worked closely with President Trump to make the two-state solution a reality and has expressed intentions to continue pursuing annexations now that he has formed a government through a deal with his opposition.
The Palestinians have made it clear that they will reject any possibility of a two-state solution if the annexation plans proceed as currently outlined. The Palestinians have voiced strong opposition to Trump's Middle East 'vision,' which he unveiled in January. Despite this, the US is moving forward with its stance, releasing a statement via the US State Department on Monday that reads: 'As we have made consistently clear, we are prepared to recognize Israeli actions to extend Israeli sovereignty and the application of Israeli law to areas of the West Bank that the vision foresees as being part of the State of Israel.'
3. America’s Wealthiest Are Expanding Their Fortunes
The COVID-19 pandemic had a drastic economic impact on Americans, with millions losing their jobs as businesses closed to prevent the spread of the virus. Congress swiftly passed the CARES Act, which provided economic stimulus payments to help citizens weather the lockdown. However, for many, the aid came too late and was not enough to stave off financial hardship. While many Americans are struggling, a report from the Institute for Policy Studies shows that not everyone is facing the same economic challenges.
The report, titled 'Billionaire Bonanza 2020: Wealth Windfalls, Tumbling Taxes, and Pandemic Profiteers,' published on April 23rd, reveals that America's billionaires saw a collective increase in their net worth of more than $282 billion in just 23 days during the national lockdown. The report further examined the tax obligations of several billionaires, concluding that between 1980 and 2020, their tax responsibilities dropped by 79%. In contrast, the median household wealth increased by less than 5% over the last 30 years, while billionaires' wealth surged by 1,110%, reaching a total of $2.95 trillion. Thankfully, ultra-luxury department store Bergdorf Goodman is not one of the stores closing down in New York!
2. The Lockdown Triggers Massive Unemployment in the US
Each week, the US Labor Department releases a report detailing new unemployment claims, and this week's report reveals that 3.8 million claims were filed, bringing the six-week total to 30.2 million. This surge is the largest increase in unemployment since the Great Depression, which saw the jobless rate soar to 25%. Although these figures are staggering, there is a glimmer of hope as they indicate a downward trend, with last week's claims reaching 4.44 million.
Jerome Powell, Chairman of the Federal Reserve, commented that the current jobless rate is now in the 'double digits' when considering the full impact of the numbers from March. While the reported unemployment rate stands at 4.4%, it does not account for the ongoing rise in claims throughout March and April. Powell predicts that the rate could surpass 10% by the second quarter. However, there may be relief on the horizon as several states begin to lift restrictions, and furloughed workers are slowly returning to their jobs, which may help reduce the number of claims by May and June.
On the flip side, not everyone is facing hardship...
1. Pentagon Releases UFO Footage
On Tuesday, the Pentagon made public declassified footage showing three UFOs. The footage, captured by US military personnel in 2007 and 2017, includes three brief, grainy clips. While the footage had been leaked earlier, this release by the Pentagon serves as an official confirmation of its authenticity. What's particularly striking is not the unusual aerial movements, which seem otherworldly, but rather the lack of significant attention the release has garnered from the public or media.
This marks the first time the US Department of Defense has officially released footage of objects it classified as UFOs, a major event that should have made headlines. Accompanying the release, the Pentagon issued a statement clarifying its decision, stating: 'After a thorough review, the department has determined that the authorized release of these unclassified videos does not reveal any sensitive capabilities or system […] DOD is releasing the videos to clear up any misconceptions the public may have about whether the footage circulating was real.'
While the videos don't prove the existence of extraterrestrials, they certainly show aerial movements that seem beyond the capabilities of anything known on Earth, suggesting something otherworldly may be at play.
+ McDonald’s Starts Rationing
The global closure of abattoirs and slaughterhouses due to the Coronavirus has disrupted meat production. This wouldn't be an issue if the lockdowns were brief, but as they extend longer than anticipated, the strain on the meat supply chain is becoming more apparent.
As the US faces a shortage of meat, McDonald’s has started rationing certain items, including burgers, bacon, and sausage. The CEO of McDonald’s has expressed concern over the state of the meat industry, stating that the company is monitoring the situation 'literally, hour by hour.' Meanwhile, beef prices have skyrocketed, increasing by 62% since February. If you're craving McDonald’s and your state allows you to venture out, now’s the time to hit the drive-thru before it’s too late!
