Here are five things to keep in mind in the economic market on Monday, 12th October:
The House Democrats and the Trump administration have not been able to reach a decision on Stimulus even during the weekend, making the chances of an Stimulus package before the election very slim.
Meanwhile, the impetus talks have fallen on deaf ears as politicians have been busy hearing President Trump’s Supreme Court nominee Amy Coney Barrett.
“I don’t think economic recovery is relying on Stimulus,” White House economic adviser Larry Ludlow told CBS News.
Investors have now speculated that the Stimulus package could be approved in January under the supervision of the new government.
According to the Financial Times, the European Union is compiling a list of major technology companies that will be subject to new restrictions so that they do not abuse their power.
According to the report, the ability of companies to use Internet platforms will be curtailed, although the EU has not yet shown any evidence of whether the companies have violated the law. Earlier, Europe’s top court took a stand against Apple (NASDAQ: AAPL) following a complaint by the European Commission’s anti-trust directorate general.
The report added that the new law would allow companies such as Apple, Facebook (NASDAQ: FB) and Google (NASDAQ: GOOGL) to share information with their competitors and inform them about how they collect information.
The U.S. stock market is about to start in a mixed state where the Dow is going to face depreciation, but the price of technology-dependent stocks has risen.
At 6:20 a.m. Eastern time, the Dow futures were down 17 points, or 0.1%, while the S&P 500 futures were up 0.3% and the Nasdaq futures were up 1.1%.
All eyes will be on Apple’s share, as their new iPhone will be unveiled in the market on Tuesday.
China has taken steps to put a break into the yuan’s rise. China has relaxed some restrictions on investing money against their currencies.
The People’s Bank of China said on Saturday that from today, banks will not have to deposit 20% of their US dollar sales proceeds.
The yuan traded at an 17-month high against the dollar on Friday, and recorded the highest quarterly rising rate in a 12-year.
Oil prices have plummeted as Norwegian offshore workers have called off their strike. The strike cut off oil supplies to about a quarter of the country’s total supplies. Oil production has resumed in the Gulf of Mexico as the hurricane delta recedes.
Oil prices also came under further pressure when news broke that war-torn Libya had resumed oil production at one of their largest oil mines, El Sharara. The oil mine produces 3 lakh barrels of oil per day.
6:20 a.m. Eastern time U.S. Crude futures traded down 1.5% at $39.98 a barrel, while Brent futures traded down 1.3% at $42.28 a barrel.