fbpx

European Wrap – Investors take shelter

European Wrap - Investors take shelter - MarketPulseMarketPulse

image

Home/COVID-19/Indices/Newsfeed/US election

Share 0

Election uncertainty adds to downside pressure

A mixed day for Europe, while Wall Street is heading for its worst week since March as election day nears.

The downside risks that have been evident in these markets for weeks are slowly materializing and the next big uncertainty – the US election – is now upon us. It’s little surprise investors are heading for the havens, there’s hardly an abundance of good news out there.

The breakdown of stimulus talks on Capitol Hill was a bitter blow – and, bizarrely, seemingly an unforeseen one – and its been downhill since. The surging number of Covid cases and lockdowns in Europe has seriously taken its toll as well and stoke memories of March when the walls were closing in and it became a matter of when, not if, we’d be next.

The lockdowns may not be quite as severe as earlier this year but when they arrive they will be very restrictive with some businesses forced to close, others seeing a fraction of the footfall and the rest of us spending most of our time at home as social gatherings are discouraged or banned altogether. It’s going to take a significant toll on the economy.

The election is up next and, whatever the result, investors will surely be hoping for the smoothest possible outcome. It obviously won’t be straightforward and there will be controversy but a challenge to the result will create the uncertainty this market – and the US itself – desperately needs to avoid. A bit of good news will be very welcome.

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Craig Erlam

Based in London, Craig Erlam joined OANDA in 2015 as a Market Analyst. With many years of experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while producing macroeconomic commentary. His views have been published in the Financial Times, Reuters, The Telegraph and the International Business Times, and he also appears as a regular guest commentator on the BBC, Bloomberg TV, FOX Business and BNN. Craig holds a full membership to the Society of Technical Analysts and is recognised as a Certified Financial Technician by the International Federation of Technical Analysts.

Craig Erlam

Latest posts by Craig Erlam (see all)

Original author: Craig Erlam

Copyright

© MarketPulse

Risks remain to the downside for oil and gold
Federal Reserve Board adjusts terms of Main Street...
 

By accepting you will be accessing a service provided by a third-party external to https://chatpips.com/

 
     
 

Broker Search

Latest Spot Rate

 
Wait a minute, while we are rendering the calendar
How It Works | About | Contact | Contributors | Privacy Policy | Advertise
© 2009 - 2020 ChatPips. All Rights Reserved. Terms of Use: The content on this website is solely for educational and informational purposes and is not a substitute for official documentation of the original owners. Daily economic news is provided by third-party website. This site is not operated by, sponsored by, endorsed by, or affiliated with any parties in any way. The website owner, the authors, the publishers, and all affiliates of ChatPips.com assume no responsibility or liability for your trading and investment results. You should always check and confirm with several sources with your licensed financial advisor and tax advisor to determine the suitability of any investment before making your final decision. Your continued usage and browsing of information on this website constitute your agreement to this Terms of Use. If you do not agree, please do not proceed to use this website. Brokers Directory: The companies license information were obtained from respective local jurisdiction. All other company and/or product names are trademarks and/or registered trademarks of their respective owners.