During increasing COVID-19 cases many sign up for jobless claims as businesses simply stop functioning. Recent $600 checks for jobless from the Federal government could aid the economy temporarily by making the biggest retailers such as Walmart, Costco, and Amazon earn on selling essential items and groceries.
Jobless for sure spend money only on essentials and necessities while consumer electronics and leisure products do not provide earnings to the manufacturers and third-party sellers due to shrinking demand caused by the pandemic.
How long can jobless wait for the second stimulus checks? Depends on the government’s decision. Before those checks go out to their owners the biggest retailers may face decreasing revenue sales as millions of jobless just simply stop buying their goods.
As a result, their stocks may plunge temporarily while biotech companies that fight against COVID-19 might still rise in market capitalization.