Morning wrap (01.12.2020)

• US indices finished yesterday's trading lower. S&P 500 dropped 0.46%, Dow Jones slipped 0.91%, Russell 2000 declined 1.97% and Nasdaq closed 0.06% lower

• In spite of a poor US session, stocks in Asia gained. Nikkei adds 1.3%, S&P/ASX 200 jumps 1.1% and Kospi surges 1.7%. Indices from China trade 0.9-1.9% higher

• DAX futures point to a higher opening of the European session

• OPEC+ has delayed decision on extension of oil output cuts until Thursday, December 3

• Reserve Bank of Australia left rates unchanged as expected

• Saudi Arabia and United Arab Emirates will launch a 1-year central bank cryptocurrency pilot programme

• According to prepared testimony, Powell claims the vaccine brightens mid-term outlook for the economy. However, near-term outlook is still dependent on how virus will spread

• Japan's Q3 CapEx dropped 10.6% YoY (exp. -12.1% YoY). Company profits declined 28.4% YoY while company sales were 11.5% YoY lower

• Chinese Caixin/Markit manufacturing PMI for November came in at 54.9 (exp. 53.5)

• Japanese manufacturing PMI for November came in at 49 (exp. 48.3)

• Australian building approvals increased 3.8% MoM in October (exp. -3% MoM)

• Oil is trading slightly lower while precious metals gain

• GBP, AUD and NZD are top moving major currencies while JPY, USD and CHF lag the most

Almost 500 thousand new coronavirus cases were reported yesterday. Source: worldometers, XTB