Listen to the latest market mood for the Euro Stoxx 50.
Euro Stoxx 50 futures have fallen by around 0.80% as a downbeat Wall St session looks set to flow through into the European trading session. The main driver of the losses in the equity space has been the lack of progress made in the US stimulus talks. Despite US House Speaker Pelosi seeing the potential for a deal to be reached she also recognises that a US stimulus deal may need to wait until after the US election. It could well be the case as outlined by Fox’s Pergram and sources cited that the political efforts from both sides are to merely give the appearance of trying to get a deal done before the election.
Therefore in this environment expect sellers in the Euro Stoxx 50 as long as the hopes of a US stimulus package are fading.
- The main risk to this trade is if there is progress towards a US stimulus package.
- President Trump and Joe Biden will have a televised debate today and if Trump takes ground on Biden that will be positive for the USD.