Markets took light risks Monday as investors weighed on China’s strong economic data, stimulus plans by U.S. President-elect Joe Biden, and growing coronavirus trends.
Carrefour SA fell 5.8%, leading the European Stoxx 600 down, after Alimentation Couche-Tard Inc. of Canada abandoned talks on a $ 20 billion merger. The dollar rose, oil prices were weaker and U.S. equity futures fell.
Asian Chip Stocks and Huawei Technologies Co. Suppliers they fell after Reuters reported that the US plans to revoke licenses to work with the Chinese company. In Seoul, Samsung Electronics Co. fell 3.4%.
“Markets needed a respite or even a setback to justify inflationary expectations,” said Ben Emons, CEO of Global Macrostrategy at Medley Global Advisors.
Global stocks fell last week after optimism about the $ 1.9 trillion U.S. aid package and the so-called reflation trade fell on a holiday weekend. U.S. financial markets are closed Monday for Martin Luther King holidays.
Meanwhile, Janet Yellen is expected to affirm the U.S. commitment to market-determined exchange rates and ensure that the United States will not seek a weaker currency to gain competitive trade advantages, the Wall Street Journal reported, citing officials Biden transition familiar with preparing for it. confirmation hearing as Secretary of the Treasury.
On the coronavirus front, cases exceeded 95 million, while the number of deaths in the United States from Covid-19 was about 400,000. Norway expressed growing concern about the safety of the Pfizer Inc. vaccine. in elderly people with serious health conditions after the death of 29 people who received inoculations.
Jun Bei Liu, portfolio manager of Tribeca Investment Partners, analyzes its market outlook for 2021.
Here are some key events that will be presented next week:
- U.S. equities and bond markets are closed Monday for Martin Luther King Jr. holidays.
- The profits come from companies like Bank of America, Morgan Stanley, Procter & Gamble, Intel and Netflix.
- Joe Biden takes office as president of the United States on Wednesday.
- Political decisions are due Wednesday from the central banks of Brazil, Malaysia and Canada. The Bank of Japan and the ECB issue decisions on Thursday.
These are the main movements in the markets:
Stocks
- S&P 500 futures fell 0.2% at 9:01 a.m. London time.
- The Stoxx Europe 600 index fell 0.2%.
- The MSCI Asia Pacific index fell 0.4%.
- The MSCI Emerging Market Index fell 0.2%.
Coins
- Bloomberg’s dollar spot index rose 0.3% to 1,129.08.
- The euro fell 0.1% to $ 1.2071.
- The British pound fell 0.5% to $ 1.3527.
- The Japanese yen was up 0.1%, to $ 103.78.
Good
- Germany’s ten-year yield fell one basis point to -0.55%.
- The UK’s ten-year yield fell one basis point to 0.28%.
Commodities
- West Texas Crude Oil fell 0.3% to $ 52.22 a barrel.
- Gold strengthened 0.3% to $ 1,833.63 an ounce.
– With the assistance of Cormac Mullen