THE WORLD THIS WEEK
Markets are edging higher and the dollar is on the back foot as some American traders are set to return from the Thanksgiving holiday. Optimism about a vaccine and the US transition is outweighing the grim virus reality and Brexit uncertainty.
President Donald Trump said that he will leave the White House if President-elect Joe Biden wins the Electoral College. His comments in a press conference provide additional relief to markets, despite repeated unsubstantiated claims of fraud. US coronavirus cases continue rising at a rapid pace as many traveled for the holiday. Hospitalizations hit a new high above 90,000.
Vaccine: Doubts about the AstraZeneca/University of Oxford immunization scheme have become more prominent. The more efficient dosage regimen was not tested on people older than 55. Nevertheless, British authorities intend to move forward with approving the vaccine. Additional information is awaited. The US regulator is also examining various inoculations for approval.
Euro USD is edging higher, shrugging off Germany's failure to turn the tide on COVID-19, hitting one million cases and contrary to other countries in the old continent. The lockdown has been extended up to December 20. Fabio Panetta, a member of the European Central Bank, said that stimulus has been insufficient. The ECB is set to expand its bond-buying scheme next month.
Brexit: Chief EU Negotiator Michel Barnier is traveling to London for fresh talks. While the trip is a positive sign, disagreements about fisheries and governance persist. Recent reports suggest talks are "completely stuck" and more headlines are likely during the day. GBP/USD trades below 1.34.
China's industrial profits jumped by 28.2% in October, a leap in comparison to 10.1% in September. The world's second-largest economy's figures are also supporting markets.
Gold is edging lower but holding above $1,800. WTI Crude Oil is hovering around $45.
Cryptocurrencies are bouncing after a sharp downside correction, with bitcoin trading above $17,000 once again.