The Friday Market Minute
- Global stocks mixed as markets continued to focus on the worrying increase in coronavirus infections in Europe and the lack of a new deal on fiscal stimulus from Washington.
- US stocks will try to seize the three-day tire loss as lawmakers discuss a new bill with the help of the coronavirus, but hopes of a preliminary election agreement are lost amid the battle of Republican.
- The World Health Organization says Gilead Science’s coronavirus treatment, remdesivir, has little effect on patients in a trial of more than 11,000 patients.
- Wall Street futures jumped higher toward the opening bell after a stronger-than-expected reading of retail sales in September and an optimistic for Pfizer vaccine development.
US equity futures rose higher on Friday after Pfizer Inc. (PFE) ̵1; Get Report said it may be ready to apply for emergency approval using its coronavirus vaccine development starting next month.
The optimistic timeline could help Wall Street snap a three-day tire loss as many of the concerns plagued markets this week, from rising coronavirus infections to extinction. hope of a stimulus agreement, continues to dull the feelings of investors.
Stocks were also boosted by a stronger-than-expected reading of September retail sales, up 1.9% since last year against the Street consensus forecast of a 0.7% gain.
President Donald Trump’s offer to raise the value of the offer on a Republican-led stimulus bill that exceeds the current $ 1.8 trillion level gave the stocks a final strengthening session yesterday, but that rally was doomed Senate leader Mitch McConnell said he would not take it. on the floor, citing concerns for both the level of spending it contains and the policies it will support.
McConnell’s reluctance, as well as House Speaker Nancy Pelosi’s hard-ball deal tactics, means that a deal will not be reached in a few weeks and will last between now and November 3rd.
For investors today who are mitigating the impact of any near-term financial strengthening, the market direction is likely to depend on the rapid growth of companies’ earnings in the coming weeks and the outlook for business closures and restrictions on travel if the current wave of coronavirus infections in Europe is located towards the United States.
Futures contracts tied to the Dow Jones Industrial Average suggest a 130-point opening bell before the retail sale goes out, while those linked to the S&P 500 are worth a 13-point bump. In the meantime, the Nasdaq Composite futures, are guiding for a 76 points earned for the tech-focused benchmark.
Gilead Sciences (CHILD) – Get Report Shares are an early moving note, falling 1.15% in pre-market trading after the World Health Organization said its development of coronavirus treatment, remdesivir, had little effect on patients in a trial of more than 11,000 patient.
The US dollar index, which tracks the greenback against a basket of six global currencies, marked 0.15% lower than 93.717, but is still looking at the track to book the best weekly earnings since summer amid rising global risk increases in financial markets.
Meanwhile, the Benchmark 10-year Treasury record yields, covering around 1 or 2 basis points higher than 0.727%.
European stocks were tight on green early Friday trading, with the Stoxx 600 rising 1.1% in Frankfurt and Britain’s FTSE 100 to 1.25% in London, while Asian stocks ended the session further low after last night’s negative closing on Wall Street and the overhang of Europe’s rising coronavirus infection rate and the lockdowns they triggered on major economies around the region.
Global oil prices were also lower than early European trade, which was again suppressed by concerns that lockdowns would remove close demand but still trade in the tight range that defined the well-given market within. of many weeks.
WTI contracts for delivery in November, the US benchmark, traded 51 cents less than they closed on Thursday in New York and exchanged hands for $ 40.45 per barrel in early European deals while Brent’s contract for December, the global benchmark, saw 59 cents less than $ 42.57 per barrel.