The economic calendar today is not too busy, with mostly reports by central banks of interest.
Today there will be speeches by representatives of the Reserve Bank of Australia and the Bundesbank of Germany.
In addition, several economists from the European Central Bank will also give talks. Likewise, in the United States members of the Federal Reserve will give speeches later in the day.
The most interesting fundamental reports of the day will be the latest data on jobless claims in the United States. Investors will be looking for a decrease in initial and continuing claims to further confirm that the US economy is recovering and in need of a rate hike as early as next year.
As for the stock market, today we are going to see US indices recover yesterday’s losses, brought about by the unsatisfactory performance of some companies that reported quarterly earnings yesterday.
Speaking of earnings, today we are going to hear from graphics card maker Nvidia. Like AMD, Nvidia stock is doing well due to the increased demand for GPUs caused by a greater interest in cryptocurrency mining and the ever-growing interest in video games.
Meanwhile, China is trying to contain the damage to its own markets that the struggling property development sector has caused. Several state financial institutions will inject money into China Huarong Asset Management, which is responsible for much of the development debt in the country.
While these measures will not be the end of the troubles experienced by the Chinese markets, it might help slow down the pace at which the crisis is unfolding.
Lastly, we bring you an update on the coronavirus pandemic. As of today, there have been almost 256 million cases worldwide, with 5.1 million deaths. The current rate of global infections is on the rise again, indicating the beginning of yet another wave in the pandemic.
The United States is once again one of main battlegrounds for the pandemic, with the highest all-time total of Covid-19 cases (48.2 million) and the highest daily increase yesterday (104K).
The virus is also rapidly spreading in Europe, where Germany recorded its all-time highest daily infection rate yesterday, with over 60,000 new coronavirus cases confirmed in one day. Other European countries, including the United Kingdom, are also experiencing massive outbreaks. Many governments are warning that new lockdowns might be necessary.
