Markets dropped sharply Monday after President Trump announced on Twitter, “I have instructed my representatives to stop negotiating until after the election when, immediately after I win, we will pass a major Stimulus Bill that focuses on hardworking Americans and Small Business.”
The announcement put an end to rising hopes that a stimulus package could be quickly approaching. However, behind the scenes, the two parties were reportedly $800 billion apart on a deal; to put that number in perspective, the difference between the two bills is $100 billion larger than the entire amount authorized under TARP in 2008.
Despite calling off the talks, Trump went back on Twitter later in the evening to say he would sign a deal now, although the ideas he floated were stripped down significantly. Rather than a comprehensive stimulus bill, he picked out expanded PPP, Airline Payroll Support, and $1200 checks to Americans as provisions he would support.