Unemployment for the first full week of July will be brutal

by Thereian

PPP is basically acting as a medium for unemployment. People are paid to do nothing right now, since the government is footing the bill. PPP requires employees to be paid through June 30th (among other conditions). To be clear – small businesses have had a reason to not lay anybody off yet. July 1st is their first opportunity to save money with layoffs. Some statistics:

-United States small businesses employed 58.9 million people, 47.5% of US employees, in 2018.

-18 percent of all US employees work for businesses with fewer than 20 employees

Be careful being long as we approach that date or the dates for reporting those weeks’ UE numbers.

 

Disclaimer: This information is only for educational purposes. Do not make any investment decisions based on the information in this article. Do you own due diligence.