More big events are being canceled because the outbreak is more and more difficult to control accross Europe and America. This impacts the market heavily. As traders, we must get to know these information fast and steer our forex trading strategies into the right decision.
The Olympic Games are currently the largest global event interrupted by the coronavirus pandemic. Japanese Prime Minister Shinzo Abe, along with the International Olympic Committee, agreed to postpone the Tokyo Olympics for a year - the first postponement since it began in the 19th century.
Meanwhile, Singapore and Australia are the latest in a long list of countries to strengthen strict social isolation measures to prevent the spread of viruses by closing events and bars. , cinemas, religious services, and other non-essential services. And India imposed a 21-day national blockade. The World Health Organization warns the United States could become a new epicenter of the outbreak. However, President Donald Trump hopes the economy will reopen at Easter. In addition, China has been preparing to lift its blockade in Wuhan, although cases of asymptomatic virus infections suggest that its problem is not over. The number of coronavirus infections worldwide has reached 409,000 and the number of deaths is 18,246.
Asian stocks are likely to prolong the rise of global stocks after an uplifting session for US stocks for nearly a decade when the appetite of investors is risky (Congress from denies unprecedented spending bill to boost recession). The dollar fell, pausing the chain of consecutive gains for 10 days. The futures market soared in Australia, Hong Kong and Japan, indicating that the gains may extend into the second day for Asia-Pacific shares. Futures on the S&P 500 Index gained at the open after the index soared more than 9% - the largest gain in a day since October 2008. The Dow Jones industrial average rose more than 11%, the largest gain since 1933. In other developments, stocks in emerging markets fluctuated with their currencies. Oil rise. However, so far, about $ 26 trillion has evaporated from the stock market since mid-February.
The Chinese government is facing the worst financial situation since the global financial crisis more than a decade ago: sales fell after the government shut down economic activities in February to curb the spread of coronavirus. Central and local government revenues dropped 9.9% in the first two months of the year compared to a year ago. It was the deepest decline since February 2009. Tax revenue dropped by more than 11%, including the decline in value-added tax, corporate income tax and car purchase tax, while the government Also need more money to stimulate the economy. Spending decreased, but the increase in spending on health care and social security kept the decline to 2.9% from a year ago. Strict fiscal conditions added to the government's urgency to raise money from bond sales and allow for a higher deficit by 2020.
Business leaders in the United States are losing patience with the closure of the national economy caused by coronavirus. They hope Mr. Trump will open the economy at Easter (April 12). On Monday, David Neeleman - the founder of JetBlue and WestJet - said: "The suffering from a huge economic recession will be much greater than the damage caused by the disease. bewildered - no one has a job, people lose their homes, children stay at home instead of school". Apple's retail stores are hesitant about reopening nationwide in the first half of April.
The problem is, government officials are heading to a decision to shut down. On Monday, governors and health officials in Indiana, Massachusetts, Michigan, Oregon and West Virginia issued a regulation requiring residents to stay home.