As a Europe prepares for a second wave of coronavirus outbreak, countries such as the UK, France and Germany are already in lockdown. Strategists are concerned how this will impact the economy with the European central bank meeting to discuss whether a new economic stimulus will be necessary amid the second wave.
The European Central Bank is set to meet today to discuss if a new economic stimulus will be needed in preparation for a potential new wave.
For businesses this year, since the coronavirus spread, have been depending heavily on technology in order to work from home, continue to communicate and work with staff locally and globally. Facebook’s (FB) shares rise 29.6%, Amazon’s stock price leaped 68.6% and Netflix (NFLX) climbed 49%. These are just a part of how Nasdaq100 (US-Tech100) futures have pushed +31.6% higher this year.
These announcements are infusing volatility into European shares and index futures, leading them to shed recent gains in reaction to economic uncertainty. At closing on the 28th October 2020, the following index futures dropped from their October record high:
The FTSE100 (UK100) -8%. The DAX 30 (Germany30) -12.5%. The FIBi (Italy40) -9.7%