• Nasdaq hits new high
• Pfizer (PFE.US)and BioNTech (BNTX.US) granted FDA fast track designation for two Covid-19 vaccine candidates
European inidices finished today’s session higher as investors cheered signs of progress in COVID-19 vaccine development after two possible Covid-19 vaccines from Pfizer and BioNTech granted FDA fast track designation. DAX finished 1.3% higher, CAC 40 rose 1.7% and FTSE 100 gained 1.3%.
US indices rose on Monday with Nasdaq hitting a new high, helped by a better than expected quarterly results from Pepsi Co (PEP.US), as well as signs of progress in COVID-19 vaccine development. These news completely overshadowed surging numbers of new COVID-19 cases. Coronavirus infections rose above 13 million across the world on Monday, climbing by one million in just five days. World Health Organization chief Tedros Adhanom Ghebreyesus said there would be no return to the old normal for the foreseeable future, with too many countries headed in the wrong direction. "The virus remains public enemy number one," he told a virtual briefing from WHO headquarters in Geneva. "If basics are not followed, the only way this pandemic is going to go, it is going to get worse and worse and worse. But it does not have to be this way." he said. On Sunday World Health Organization recorded record 230,000 of new confirmed COVID-19 cases, while Florida reported a record increase of more than 15,000 infections.
Gold and silver are trading higher, with silver prices scoring an 11-month high and closing in on $20/oz resistance level. Meanwhile gold prices rose above the key $1,800/oz level. Buying interest continues to be fueled by ongoing U.S.-China trade tensions and the record number of new COVID-19 cases. Despite hopes of a vaccine-breakthrough, many investors remain concerned that the recovery of the global economy may take longer than originally assumed.
Oil prices managed to erase early losses as investors await OPEC technical meeting this week, which is expected to recommend an easing in output cuts. Both WTI and Brent are trading flat.
There is quite a lot of data scheduled for release tomorrow. During the Asian session investors will get to know trade data from China and Japanese industrial production figures. GDP data from the UK, German ZEW Economic Sentiment Index and inflation figures will be the key releases of the European session. Apart from that Consumer Price Index figures will be published in the afternoon. Last but not least, FED Kaplan and Williams are scheduled to speak. Oil Traders will be looking at API inventory numbers. On the earnings front JPMorgan Chase, Wells Fargo, Citigroup Inc, Continental AG, Delta Airlines will publish their quarterly results.
GBPUSD - price again bounced off the 200 MA (redline), signaling that bears are in control of the market. Should downbeat moods prevail, support at 1.2480 may come into play. On the other hand, breaking above the 1.2676 handle may lead to a bigger upward move. Source: xStation5The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
