Welcome to the 56th issue of the California Coronavirus Weekly Recap newsletter. Before we get started with this week’s news, we want to remind you that the deadline for Paycheck Protection Program (PPP) loan applications has been extended until May 31.
In This Issue:
- The Economy & Your Finances: March jobs report shows 916k increase in nonfarm jobs
- The Market & Industry: REALTORS® expect sales to improve in coming weeks
- Around the State: California economy to reopen June 15
- Health Check-Up: CDC declares travel safe for fully vaccinated Americans
The Economy & Your Finances: March jobs report shows 916k increase in nonfarm jobsThe U.S. economy brought back more jobs than expected in March, with the March jobs report showing a 916,000 increase in nonfarm jobs — the largest single-month gain since August. Still, the overall U.S. economy remains 8.4 million jobs short of its February 2020 levels. Jobless claims jumped in California last week. The state’s 105,600 claims accounted for 14.8 percent of the claims nationwide, despite California having only 11.8 percent of the nation’s workforce.
Federal unemployment was recently extended as part of President Biden’s American Rescue Plan Act. If you still had a balance remaining on your PUA claim on March 14 and if you continue to be eligible, the EDD says you should continue to get benefits without delays. The EDD says around 95 percent of PUA recipients should be able to keep certifying without a break. For the around 5 percent of PUA recipients who exhausted all PUA benefits, the EDD says you should be getting texts, UI Online notifications or mailed notices by April 10, 2021 — if not sooner — about when to certify for benefits.
Last Wednesday, President Biden introduced a $2 trillion plan to overhaul the nation’s infrastructure. The administration has said the proposed combination of spending and tax credits would translate into 20,000 miles of rebuilt roads, repairs to the 10 most economically important bridges in the country, the elimination of lead pipes from the nation’s water supplies and a long list of other projects. C.A.R. issued a statement applauding the inclusion of creating, preserving and retrofitting of more than two million homes and commercial buildings.
Sources: Yahoo! Finance, Los Angeles Daily News, KQED, C.A.R.
The Market & Industry: REALTORS® expect sales to improve in coming weeks
REALTORS® remain upbeat about the housing market as California enters the traditional home buying season. More than half of REALTORS® who responded to a recent C.A.R. survey expected sales to improve in the coming weeks. Still, tight supply continues to constrain buyers; there were just 1.03 million homes for sale nationwide at the end of February, a 29.5 percent decline from the same time a year prior.
Forbearances dipped for a fifth straight week to 4.9 percent of servicers’ portfolio volume, and new forbearance requests dropped to their lowest level since March 2020. Meanwhile, many landlords continue to struggle with delayed rent payments, with many dipping into savings to keep properties afloat or delaying key maintenance they can’t afford.
Sources: C.A.R., HousingWire, Los Angeles Times
Around the State: California economy to reopen June 15
Yesterday, Governor Newsom announced that California is aiming to fully reopen its economy on June 15. Should vaccinations continue at pace and community spread remain low, beginning on June 15, the state’s color-coded reopening roadmap will officially end. Large-scale indoor events like conferences will be allowed to return with testing or vaccination verification requirements. A mask mandate will remain in place for the forseeable future.
A fourth wave of cases is emerging in the Midwest and Northeast, with national cases increasing 8 percent week over week. In contrast, California continues to see new cases drop, and its test positivity rate has held steady at between 1 and 2 percent (compared with 16 percent in Michigan and 9 percent in New Jersey). Still, experts say California is not yet out of the woods, as cases are inching up. Plus, the circulation of more infectious coronavirus variants remains a concern. Over the weekend, a “double mutant” variant surfaced in the Bay Area; the variant could be responsible for new surges in India, and experts do not yet know if the variant is more infectious or resistant to vaccine antibodies.
On Friday, health officials announced new updates to the state’s Blueprint for a Safer Economy. Among them, outdoor gatherings for up to 25 people will be allowed for counties in the red tier beginning April 15 (the gathering size increases to 50 people in the orange tier and 100 people in the yellow tier). Private events or meetings (such as receptions or conferences) and indoor live events or performances will also be allowed to resume beginning April 15 with modifications depending on the county’s tier. Many counties have been moving to less restrictive tiers, including the densely populated Los Angeles County, which entered the orange tier on Monday.
As of last night at 9:06 p.m., 33.8 percent of Californians are at least partially vaccinated. The statewide average for ICU bed availability is 31 percent, and the state is averaging a 1.8 percent positivity rate for tests. Cases in California number 3,661,898 and deaths have reached 59,479. COVID is plummeting in California nursing homes.
Sources: Los Angeles Times, The Desert Sun, The San Francisco Chronicle, NBC Los Angeles, CAL Matters, The Mercury News
Health Check-Up: CDC declares travel safe for fully vaccinated AmericansLast week, the CDC updated its guidance to say domestic travel is safe for fully vaccinated people. But health officials continue to discourage nonessential travel, citing the fact that many states are experiencing a rise in cases. The CDC considers a person fully vaccinated two weeks after they have received their last dose.
Experts are concerned that the highly contagious B.1.1.7 variant, which first originated in the U.K., could fuel a spike in cases across the U.S. if Americans don’t double down on precautions. Early research suggests this variant may be more deadly than the original and could have a greater impact on young people.
Last Wednesday, Pfizer announced that its vaccine is safe and strongly protective in children between the ages of 12 and 15. Most vaccines being rolled out currently are for adults, who are at higher risk for disease, but experts say vaccinating children will be critical to stopping the pandemic.
Sources: NPR, CNN, Los Angeles Times