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A new round of US fiscal stimulus plan

2020-10-06

After receiving four days of treatment at Walter Reed National Military Medical Center, US President Trump was discharged from the hospital this morning and returned to the White House, where he will continue to receive treatment. He posted a post on the social networking page saying that he feels very good and encourages the public not to be afraid of novel coronavirus, because under the leadership of him and his government, many useful drugs have been developed. Despite this, the recent polls still show that Trump's competitor Biden still leads by 11 percentage points.

As of this morning, there are more than 1.05 million confirmed deaths worldwide, and the cumulative number of infected people in novel coronavirus is close to 3.568 million. In the United States, about 37,800 people were diagnosed with new pneumonia yesterday, and the cumulative number of infected cases exceeded 7.67 million, continuing to be the country with the largest number of infected cases in the world. The epidemic is intensifying in Europe, and the cumulative number of infected people in Spain exceeds 853,000, making it the first European country with a cumulative number of infected people exceeding 800,000; The number of infections in Britain is also expanding. More than 12,500 people were infected yesterday, and the cumulative number of infected people was about 515.6 million.

The news that President Trump's health improved and he was discharged from the hospital stimulated the global stock market to make a good job, and the major European stock markets rose by about 1%; The three major indexes in the United States have also risen under the leadership of pharmaceutical stocks. Once Trump's treatment method is successful, it will inevitably play a demonstration role in treating SARS-CoV-2 and may put pressure on the US Food and Drug Administration. The market expects that vaccines may be launched earlier. The Nasdaq index closed at 11,332 points, up 257 points; Dow Jones index closed at 28,148 points, up 465 points; The Standard & Poor's 500 Index reported 3408 points, up 60 points, or 1.7% to 2.3%.

The market expects the United States to reach an agreement on a new round of fiscal stimulus plan. US House Speaker Pelosi said that he is confident to reach a consensus with party friends and Republican lawmakers. The news stimulated the US dollar index to fall, closing at 93.46, down 0.4%, and the US dollar index fell to benefit. For goods quoted in US dollars, oil prices have risen significantly, and new york oil has soared by nearly 6%; Gold rose to a two-week high, rising by USD 13 to close at USD 1913 per ounce, with the highest price reaching USD 1919 per ounce. However, the non-manufacturing index of the American Institute of Supply Management last month, which was released last night, was better than the market expectation, which limited the increase of gold. Based on the low price of USD 1887 per ounce yesterday, the fluctuation of gold price reached USD 32 yesterday.

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