WASHINGTON (Reuters) – The results of the November election and gradual distribution of a coronavirus vaccine likely means U.S. government relief for the economy has peaked, Richmond Federal Reserve bank president Thomas Barkin said on Thursday.
With the results of two final Senate races in Georgia, “we now know what we have, the narrowest of Democratic majorities,” Barkin said. “That probably means continued support for the least fortunate for real constraints on more aggressive legislation…The spike in government spending is largely behind us” given an expected return to more normal life as the vaccine takes hold.
(Reporting by Howard Schneider)
