• US stocks fell as virus cases surge
• Oil under pressure after EIA report
European indices extended recent losses amid concerns that the second wave of coronavirus infections will negatively affect region's economic recovery. Chancellor Angela Merkel announced that Germany will enter a partial lockdown from November 2nd. Restaurants, bars, theatres, cinemas, pools and gyms will be shut and concerts cancelled, while private gatherings will be limited to 10 people from a maximum of two households. Meanwhile French President Emmanuel Macron will give a TV address this evening to announce further curbs on movement, while in the Czech Republic an overnight curfew came into force today. Meanwhile Italy reported 24,991 new Covid-19 infections in the last 24 hours, a record high and up from 21,994 on Tuesday. Spain reported 267 Covid-19 related deaths on Tuesday, the highest daily number in the current second wave of the pandemic. On the earnings front, Deutsche Bank reported better than expected quarterly figures. During today's session DAX 30 plunged 4.2% to 11,561, suffering its worst one-day drop since March. CAC 40 tumbled 3.5% and FTSEE 100 finished 2.6% lower.
US indices fell sharply during today's session as well due to the surging numbers of new coronavirus infections and potential impact on the economy. Dow Jones is trading 3.03% lower, S&P 500 lost 2.8% and Nasdaq fell 3.1%. Yesterday US reported 73,240 new cases and 985 deaths. Meanwhile daily average of coronavirus cases reached record level of 71,832 over the past week, according to Johns Hopkins University data. Hospitalizations are up 5% or more in three dozen states, according to data from the Covid Tracking Project. For this reason some states decided to reinstate certain social distancing measures - Illinois has ordered Chicago to shut down indoor dining. On the corporate front, Microsoft quarterly figures came in above expectations however stock fell due to weaker guidance. Earnings from GE, Blackstone, Boeing and GSK surprised on the upside while Mastercard results disappointed. Gilead Sciences and Visa will report today after the closing bell. Meanwhile Facebook, Alphabet and Twitter stocks fell down sharply as their respective CEOs testified in front of Senate members. Facebook and Twitter were fell by 4.6% and 5.1%, respectively, and Alphabet plunged 4.8%.
NZDUSD – pair fell 0.66% during today's session amid a fresh wave of risk aversion as coronavirus infections continue to spike worldwide. Currently price is testing major support at 0.6659 which is additionally strengthened by 50 SMA (green line). Should downbeat moods prevail, next support at 0.6600 may come into play. On the other hand, should buyers manage to halt declines here, then another upward impulse towards resistance at 0.6770 could be launched. 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.
