A third COVID-19 vaccine could be approved for use soon, as the manufacturers of existing vaccines pledge to ramp up production. The Federal Reserve maintains its commitment to lower rates, the White House tackles supply chain issues, and credit card fees are set to increase. In Connecticut, municipalities could receive substantial state aid in a legislative budget proposal and officials see small companies leading the state’s economic growth.
National
The Food and Drug Administration has designated Johnson & Johnson’s single-shot COVID-19 vaccine as safe and effective, which could shortly lead to the authorization of a third vaccine to battle the virus and its variants. The Johnson & Johnson vaccine was found to be 66.1 percent effective in preventing moderate and severe cases of the illness. The development comes shortly after Pfizer and Moderna told Congress that they are set to double the production of their own vaccines.
Striking a cautious tone amid forecasts of an economic rebound this year, Federal Reserve Chairman Jerome Powell said the U.S. economic recovery is uneven and incomplete. Powell said the Fed will continue its policies aimed at supporting lower unemployment, including low interest rates.
President Joe Biden is preparing an executive order to address supply chain problems affecting American manufacturers. The order, which comes in response to shortages of critical components such as semiconductors, will begin a review of several industries to identify ways to protect against future shortages.
Business trends
Credit card companies will be increasing their fees for certain purchases this spring, potentially creating a new challenges for restaurants and other industries that have been struggling during the pandemic. Visa and Mastercard are reportedly planning the fee increases for April.
Connecticut
Leaders in the Connecticut House of Representatives are making an early pledge to provide financial assistance to municipalities. The chamber is expected to sign off on an omnibus bill that includes $100 million in aid for cities and towns.
Governor Ned Lamont is anticipating that Connecticut’s economic growth will lie primarily in the growth of smaller companies and startups rather than major firms with thousands of employees. The remarks were made in Hartford, where officials said they are hoping to attract companies in growing industries to the city’s commercial real estate.
