The fourth American package to support the economy, days after the first pass
Europe may reach its peak soon, according to the World Health Organization
China is recovering
The shares are supported by positive news, especially in Central Europe, where authoritarian rulers turn to in Hungary and Poland to use the Corona virus as an emergency that strengthens their positions.
Here are the most important things to know about financial markets on Tuesday, March 31:
1.The fourth stage is on the way, with the closure of the economy continuing
Congress and the White House have begun work on the fourth stage of the support packages, in less than a week after President Trump signed the third stage, worth $ 2.2 trillion, according to BloomAccording to the news agency, White House officials have collected request lists from government agencies of approximately $ 600 billion. House spokeswoman Nancy Pelosi told reporters that support for local governments may be imperative, with direct payments to homes.
America quickly ranks first in the spread of the virus worldwide, surpassing Europe, the number of documented cases reached 164,610, with deaths reaching 3,170, and the number rises rapidly. In New York alone, there were 67,000 cases, with 1,342 cases, according to Johns Hopkins.
Maryland, Virginia, and Washington, DC, curbed unnecessary moves and businesses on Monday.
2. WHO: Europe will peak, data calm before the storm
Bodies in the World Health Organization have announced that the outbreak of the Corona virus in Europe may reach its peak soon, with deaths continuing to rise in: Spain, France and Italy, but the numbers clearly show a slowdown in the growth of spread.berg.
The virus appears to hit economic data, with inflation (the consumer price index) in the euro area falling to 0.7% in March, from 1.2% in February, due to lower oil prices.
But the business sector is awaiting damage for the numbers for a few weeks, with German unemployment numbers increasing by only 1,000, according to ING analyst Karsten Berzsky, noting that the total suspension of the German state began only 9 days ago.
3. China’s recovery
The Chinese economy showed signs of recovery after the record deflation recorded in the first two months of the year. Purchasing Managers’ Index rose to 52 in March, while it was 35.7 during February.
The news is spreading data on the number of factories that returned to work after the closure in all countries. While companies remain slow, due to the high number of ongoing restrictions.
The yuan remained unchanged against the dollar.
4. Shares go up, the dollar strengthens, and gold weakens
US stocks are preparing to open higher, with strong hopes for the fourth easing package, strong data and a Europe climax nearby. It seems to re-balance the investment portfolios.
Index futures rose as follows:
Dow 30, up 27 points, or 0.1%, to 22,193
S&P 500, 0.1% high.
NASDAQ 100 rise 0.4%
European stocks continue to rise, with Stoxx 600 up 0.7% to 316.94.
Asian markets, with the exception of Japan, rose after risk appetite.
While the US dollar remains high after falling over the past days, this is what pressured gold prices and pushed the yellow metal down.
5. Democracy and currencies are in trouble
The euro reached a new record against Hungarian Froint, with Parliament voting on a new radical law, and under the law the provisions of the constitution are suspended, raising doubts about what will happen in the European Union in the long run.
The law extends the state of emergency declared by Hungarian President Viktor Orban earlier this month in the context of halting the spread of the Coruna virus. The law allows the extension of the state of emergency for an indefinite period. He set a prison sentence of 5 years for those who publish “false news.”
The euro rose against the Hungarian currency by 7% this month, and rose against the Polish zloty 5.5%, as the right-wing populist party plans elections on May 10, despite the health risks.