Jun 15 2020 0
The second wave of the Corona virus is about to hit China and America. Singapore and Australia are desperately trying to recover their economies. That and more will be covered in today’s news report and analysed by our professionals at BRKV Forex.
The concerns are back
Concerns about the coronavirus pandemic are rebirth after economies continue to reopen after the blockade. Beijing has closed the city's largest fruit and vegetable supply center and blocked nearby residential blocks when dozens of people involved in the wholesale market tested positive for coronavirus. Meanwhile, local media reported that Tokyo revealed 47 new cases of new coronavirus infections daily - the highest level since May 5.
In the United States, Governor Andrew Cuomo has warned people about the second wave of coronavirus infection, emphasizing bars and restaurants in Manhattan and the Hamptons as the most potential places. However, the number of new deaths in New York fell for the second day in a row, although the number of infections in Florida surpassed the weekly average for the fifth straight day. A former top US health official said new outbreaks were currently taking place. In Europe, French President Emanuel Macron is speeding up the pace of reopening, while British Prime Minister Boris Johnson makes an assessment of social extension rules as he tries to encourage consumers to go out and "confidently shop".
The opening sessions
Futures on the S&P 500 index fell as the Asian session opened and the Australian dollar slipped as investors watched the latest coronavirus outbreak in China. Stocks are headed for a chaotic start in the Asian session after a Wall Street rally last Friday. The renminbi and the euro also depreciated - a striking move in the currency markets at the start of a new trading week. Concerns about the second wave of coronavirus are causing traders to stay out and push global stocks lower with Treasury Bond yields. Oil drops. A broad-based risk reversal fueled by concerns about the second wave of infection is also undermining the rise of the New Zealand dollar, pushing prices down to the key support level that was confirmed at the beginning of the month.
A globalization promise
Singapore remains committed to its globalization despite the coronavirus epidemic, which inspired the proliferation of protectionist policies worldwide. "For many countries, Covid-19 accelerated the retreat of globalization and created protective barriers," said Chan Chun Sing, Minister of Trade and Industry. resisting these pressures." Chan warned that a less connected world would mean a poorer world; A less connected Singapore will mean a country with fewer jobs and less quality. Singapore's economy is highly dependent on trade and Mr. Chan is mobilizing efforts across the government to promote global cooperation, especially in times of crisis.
Today, Australian Prime Minister Scott Morrison will announce funding for new infrastructure worth 1.5 billion AUD ($1 billion) as his government seeks to start an economy. is waking up after a blockade. Speaking to a conference organized by the Australian Economic Development Board, Mr Morrison said the funding would be used to "start small priority projects immediately by states and territories."
Approximately 1 billion Australian dollars will be allocated to "ready for construction" projects, with the aim of improving road safety. Mr. Morrison is seeking to reopen most parts of the economy by the end of next month thanks to his success in stopping the spread of coronavirus and keeping the new daily infection rate below 0.2%.