Home https://server7.kproxy.com/servlet/redirect.srv/sruj/smyrwpoii/p2/ Business https://server7.kproxy.com/servlet/redirect.srv/sruj/smyrwpoii/p2/ Lockdowns in Europe are a warning to the United States

Lockdowns in Europe are a warning to the United States

What is happening: Paris has imposed an overnight curfew. In London, people from different households are forbidden to meet indoors. The measures are an attempt to prevent the rapid rise of Covid-19 cases across the continent as hospital capacity has once again become a concern.

Stocks in London, Paris, Milan and Frankfurt traded sharply on the Thursday before the rebound on Friday. Markets are not tanks like they did in March, but rapid climate change is still telling a cautious story.

Bank of America economists in Europe just put it on a note to clients on Friday: “Yes, it’s bad.”

“Localized and surgical restrictions can be more disruptive if they continue to rise,” they said. “Precautionary measures, which are already large, can be further fueled by the uncertainty of the virus. And voluntary withdrawal from society could easily boost the economic impact of the virus̵

7;s resurgence.”

The magnitude of the economic impact of fresh measures is difficult to determine, especially given the patchy response in countries like the United Kingdom, where cities like Liverpool are faced with stricter rules than in London.

“Tracking the size and scope of the restrictions is [of] It is very important going forward, “said Deutsche Bank economist Sanjay Raja. He is following his prediction for 2% growth in the United Kingdom between October and December, but said that if other restrictions are imposed , the economy may have completely stopped.

Allianz now expects major European economies to contract again in the last quarter of the year, with the Spanish economy down 1.3% compared to the previous quarter and the French economy down 1.1%.

Big picture: There is little reason to think that the challenge facing European leaders is to act decisively and try to prevent a worsening health crisis, or take moderate measures that could protect fragile economic achievements – is purely a local phenomenon.

See here: New York City is battling a Covid-19 revival in some neighborhoods in Brooklyn and Queens by closing down unnecessary businesses and schools in some areas, an attempt to prevent widespread disruption -shutdown for now.
In the United States, a one-week average of new daily cases moved above 53,000, an increase of more than 55% in just one month, according to Johns Hopkins University data.
The Back-to-Normal Index from CNN Business and Moody’s Analytics shows that US recovery is effective plateau from mid-September. However Europe has shown how quickly the situation can turn upside down.
Investor outlook: European stocks have been satisfied with rising demand from investors in recent months. Money managers pointed to Europe’s somewhat control over the virus after the spring, while praising an agreement with EU leaders to raise 800 billion euros ($ 938 billion) for rercovery efforts. Without the first part of that equation, however, the region could struggle.

Netflix is ​​having a killer person. Can it keep it?

It wouldn’t be a surprise to anyone hunkering at home that Netflix is ​​having a year of knockout.

While movie theaters are rapidly running out of cash, Netflix is ​​booming. The streaming service added 26 million subscribers in the first half of the year while cultural conversation centered on shows like “Tiger King.” Last quarter, Netflix revenue more than doubled compared to the same period a year earlier.

Watch the stock: Shares rose 64% by 2020, while the S&P 500 gained close to 8%.

Investors will tune in Tuesday to see if Netflix can maintain momentum when reporting results for the July through September quarter. The company said in July it expected to bring about 2.5 million subscribers by that time.

Bank of America analysts expect subscriber numbers to weaken this quarter due to increased competition from players like NBC’s Disney + and Peacock, the return of live sports and a predicted increase to people canceling subscriptions.

Although it raised the target for the stock to $ 670, a 26% increase in Friday’s price close, due to belief in the company’s long-term strategy.


Monday: China GDP and September industrial production, retail sales and unemployment; Halliburton (THINGS) at IBM (IBM) revenues
Tuesday: US housing and construction permits begin; Lockheed Martin (LMT), Philip Morris (PM), UBS (UBS), Netflix (NFLX), Snap (SNAP) at Texas Instruments (TXN) revenues
Wednesday: UK inflation; Verizon (VZ), Chipotle (CMG), Tesla (TSLA) at Whirlpool (WHR) revenues
Thursday: Consumer confidence in Germany and the UK; Inflation of Japan; American Airlines (AAL), AT&T (T), Coke (KO), Kimberly-Clark (The KMB), Intel (INTC) at Mattel (MAT) revenues
Friday: PMI data; American Express (AXP) at Honeywell (SIYA) revenues

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