News and Insights

Kitco Markets bring you updates on the hottest topics. Browse our news and insights topics below.

How the US Election will affect the Market?

The US election coming up this coming Tuesday 3rd of November 2020, is creating chaos for traders as they dig deep to find the latest trends from history. Everyone is wondering how the market will react?
Traditionally, we would look at the same circumstances in history to gain insight and predict what will unfold for us.
It is interesting to note that with the exception in 2016 when there was a fall of 1.9% over a week. The average return of six instances was an increase of 3.8% since 1992. Some strategists analyse the market trendback to the late 1980’s and only find a continued rise up to two weeks proper to elections. Reports show President Donald Trump has climbed 3% in the month of October. It is anyones guessing game at this stage as we head towards the big election day!

Europe prepares for a second lockdown.

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 the 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 (USTech100) 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%