European markets set for negative open as coronavirus concerns return

European stocks are expected to open in negative territory Wednesday as concerns over a rise in coronavirus cases in parts of Europe, and beyond, come to the fore.

London’s FTSE is seen opening 3 points lower at 6,142, Germany’s DAX is seen 94 points lower at 12,853, France’s CAC 40 39 points lower at 4,986 and Italy’s FTSE MIB 123 points lower at 20,027, according to IG.

Global markets are watching developments in the coronavirus outbreak carefully after global cases of the virus have now topped 20 million, with many regions struggling to ramp up testing to capture the true scale of the global outbreak.

New Zealand’s Prime Minister Jacinda Ardern said that she would delay the general election process after the country reported its first cases on Tuesday, after 102 days without any local transmissions. A sharp rise in daily cases in France also prompted Prime Minister Jean Castex to reportedly warn the country that it has been going “the wrong way” for the past two weeks.

In the U.S., daily new cases appear to be decreasing, though testing in several large states, including Texas, has also fallen, which could complicate the data. In other news, Russian President Vladimir Putin said Tuesday the country has approved the world’s first vaccine, though researchers have not released any safety and efficacy data on the drug.

In Europe, earnings come from Novozymes, Orsted, E.On and ABN AMRO and preliminary second-quarter GDP (gross domestic product) data from the U.K. is released Wednesday. 

Source Article

Next Post

Coronavirus: The scale of this economic contraction is unlikely ever to be repeated | Business News

So it’s official – Britain is in recession. Except that this is unlike any recession any of us have experienced. It is the deepest recession in modern British history. ‘Hard times are here,’ chancellor warns It is the deepest of any other leading industrialised economy (only Spain’s economy shrank by […]