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White House, Senate reach a deal on $2 trillion coronavirus stimulus bill

Yahoo Finance's Alexis Christoforous, Brian Sozzi, and Jessica Smith discuss the $2 trillion economic stimulus package passed to combat the economic impact of the coronavirus crisis.

Video Transcript

ALEXIS CHRISTOFOROUS: This comes one day after the Dow had its biggest one-day percentage gain since 1933, up 11%, on the hopes that Congress would pass that $2 trillion stimulus package, and they did, indeed, pass it. For more on that, let's go to Jessica Smith for the details. So Jess, in regular fashion there for lawmakers, it took them days to come up with this. There was a lot of back and forth. They finally signed this bill. What exactly is in this stimulus bill?

JESSICA SMITH: Well, they've come to an agreement right now. They came to a deal early this morning. They negotiated all throughout the day yesterday into the night and early morning hours, and then announced that they do have a deal on the Senate side. This will be the biggest relief package in history-- it's about $2 trillion. The Majority Leader Mitch McConnell spoke on the Senate floor and he called it a "wartime-level of investment into the country." Let's watch.

MITCH MCCONNELL: It will rush new resources onto the front lines of our nation's health care fight and it will inject trillions of dollars of cash into the economy as fast as possible to help American workers, families, small businesses, and industries make it through this disruption and emerge on the other side, ready to soar.

JESSICA SMITH: Now, we don't have the text yet, that has not been released at this point, but we are hearing from both sides about different provisions that they secured in the legislation. So what we know so far, what we expect to see is direct checks to Americans. We expect that to start at $1,200 per adult.

There's also an expected $350 billion plus for small businesses, that $500 billion for distressed industries. Now that is going to come with more oversight. Democrats say they secured real-time reporting of any loans, assistance, or investments on that front, as well as an IGC and an Oversight Board. Democrats also say they were able to score $150 billion for state and local governments, and $130 billion for hospitals and health centers. Those were two really big priorities for Democratic lawmakers going into these negotiations.

Now, Minority Leader Chuck Schumer did release some details of what he secured. And he says that they managed to secure no buybacks for the terms of the government assistance for these corporations and then one year after. And then, they also say, no businesses controlled by the president, vice president, members of Congress, or certain treasury officials will be eligible for this assistance.

So those are two interesting nuggets there. Now, we do expect the Senate to vote on this sometime later this afternoon. We expect it to pass with a large bipartisan majority. And then, we are going to look for the House. We're still waiting for [INAUDIBLE] details about that vote. Speaker Pelosi did put out a statement saying that they are reviewing the legislation now, so we'll keep you updated if we hear any more from Speaker Pelosi on what the House is going to do.

ALEXIS CHRISTOFOROUS: All right, thanks a lot for that round up, Jessica Smith.