Market Update

A European Union official said on Wednesday that the bloc decided earlier this week to create a debt management office to handle its massive bond issues. The official, who refused to be named, added that the establishment of the office came as a result of reorganizing the general administration of …

The New York Stock Exchange (NYSE) closed lower on Wednesday, amid anticipation for a new stimulus package. The Dow Jones Industrial Average finished lower by 97.97 points, or 0.35%, at 28,210.82 points. The S&P 500 index declined by 7.56 points, or 0.22%, to settle at 3,435.56 points. The Nasdaq Composite …

Oil prices declined on Wednesday after data showed an increase in the United States crude oil inventories, spurring once again fears about the recovery of the global demand. Brent crude futures for December delivery declined by $1.43, or 3.3%, to finish at $41.73 per barrel. Meanwhile, the West Texas Intermediate …

The Speaker of the United States House of Representatives, Nancy Pelosi, said on Wednesday that there remains a potential for reaching a deal on a new COVID-19 stimulus package, Reuters reported. However, Pelosi did not clarify if an agreement would be reached before or after the upcoming elections. The President …

The US Dollar maintained its downward trend on Wednesday to fell to a its lowest level in about seven weeks, despite hopes for a new stimulus package in the United States. The Dollar Index (DXY), which measures the USD performance against a basket of six major international currencies, is down …

Gold prices rose on Wednesday for the third consecutive session, reaching its highest level in about a month, as the US Dollar (USD) is showing weakness across the board. Gold futures for December delivery closed higher by $14.10, or 0.7%, at $1,929.50 per ounce, its highest level since September 18. …

A recent poll by Reuters showed that copper prices are set to struggle for reaching new highs next year. “While the rebound was dazzling, most of the positive surprise is now behind us and this should not continue to significantly support copper prices at these high levels,” said Florent Pele, …

Federal Reserve Governor Lael Brainard said on Wednesday that failing to reach a new stimulus package is the biggest risk facing the economic outlook, other than the Coronavirus (COVID-19) pandemic. “Premature withdrawal of fiscal support would risk allowing recessionary dynamics to become entrenched, holding back employment and spending.”“Apart from the …

President of the Federal Reserve Bank of Cleveland, Loretta Mester, said on Wednesday that the Fed’s new approach should help the economy against the COVID-19 crisis. “While monetary policy that leads to a stable macroeconomy encourages financial stability, it is also possible that in an environment with low neutral rates, …

The President of the Federal Reserve Bank of Dallas, Robert Kaplan, said on Wednesday that he expects the United States economy will shrink by about 2.5% in 2020, and then grow by 3.5% in 2021. Kaplan expects the pandemic will continue to impact daily life well into next year, noting …