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Fed's help comes with no strings attached, Left sees environmental injustice in Trump response to coronavirus, and more

Daily news headlines about the stimulus and recovery from June 10, 2020.

What’s next from the Fed will help decide the course for markets

The Fed has gotten high marks for moving aggressively to unlock credit markets and keep money moving in an unprecedented crisis. What’s next is now the challenge.

How much the Fed will reveal about its future intentions and what it says about its view of the economy could be the keys to this week’s two-day meeting, and bond market strategists say a number of outcomes could be market moving.

The Fed is not expected to take any action on rates or policy at its meeting, which ends with a statement Wednesday afternoon and is followed by a briefing by Chairman Jerome Powell.

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In Trump response to coronavirus, left sees environmental injustice

Democratic lawmakers and advocates at a hearing on Tuesday said environmental rollbacks pursued by the Trump administration to boost an economy damaged by the coronavirus outbreak are doing harm to minority communities.

In March, the Environmental Protection Agency (EPA) issued a memo informing companies they would not face penalties for failing to follow laws requiring monitoring of pollution, so long as the pandemic prevented them from doing so.

Since then, President Trump has issued an executive order in May ordered agencies to roll back any regulation that they deem might inhibit economic growth. Another order issued last week waived requirements for environmental review under a suite of environmental laws.

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U.S. Federal Reserve's Help Comes With No Strings Attached

The Federal Reserve is waging an unprecedented and historic effort to prop up the economy right now. It's doing this by flooding the nation with trillions of dollars. But that doesn't necessarily mean all the money is going to the right places.

When the history of the COVID-19 crisis is written, it may turn out that the Federal Reserve did more than anybody else to keep the economy from collapsing.

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The Federal Reserve to take on more risk to aid small business loan program

The Fed expanded yet another of its special purpose vehicles Monday, increasing eligibility for its Main Street Lending Program and raising the percentage of the loans that it will take on to 95%.

What it means: The Main Street program is the Fed's attempt to get money directly to more American businesses that have been left out of the Paycheck Protection Program and other CARES Act initiatives.

The Fed lowered the minimum loan amount to $250,000, opening the vehicle to smaller companies than before, and also raised the maximum loan limit.

The Fed also lengthened the repayment schedule so that borrowers don't need to begin paying back the loan's principal for two years, and extended the term to five years.

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