Rolling coverage of the latest economic and financial news
Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business.
After its best week since April, the UK stock market is beginning the new week on the front foot.
European equities have opened higher at the start of trading, as investors continue to grasp onto hopes of successful Covid-19 vaccine rollouts.
There is certainly elevated chatter that potential shutdowns in the US will weigh more in the near-term and maybe so, but investor sentiment is the most elevated since 2017 – two standard deviations of the mean of past 10 years [according to AAII].
“I’m very confident that transmission between people will be reduced by such a highly effective vaccine – maybe not 90% but maybe 50% – but we should not forget that even that could result in a dramatic reduction of the pandemic spread.”
Markets will be on high alert for any further vaccine news, especially efficacy data from Moderna and AstraZeneca even if we don’t know the exact timings.
We could also hear that the Pfizer/BioNTech vaccine will get FDA emergency use approval later in the week.