Listen to the market mood for today’s session.
Asian equity markets traded mainly positively over night and US equity futures are up over 4% amid a slowdown in the number of COVID19 cases. Italy showed its smallest daily increase in deaths since March 19th and the slowest paces of increasing cases in 5 days. Furthermore, the OPEC+ deal reported to be on Thursday has Russia and Saudi said to be very close to a deal on production cuts according to Dmitriev the Chief Executive Officer of the Russian Sovereign Wealth Fund. There was also some positive news that Australian scientists have found that Ivermectin which is produced by Merck for treatment of parasites is successful in killing COVID19 within 48 hours and the next phase will be human trials.
- This mood is going to support equity markets this am.
- Expect buyers on pullback on S&P500 futures.
- Outlook: We expect this outlook to play out today.
- Trade Risks: The main risk to this set up remains to be any negative coronavirus news which would send the market back into a risk off mood.