Markets in muted mode after Thanksgiving
A quiet end to the week, as is to be expected given the US Thanksgiving bank holiday.
While traders in the US will rejoin today, probably in much smaller numbers as many make the most of the extended weekend, I don’t expect things to pick up in any meaningful way. The economic calendar is still extremely thin and the way these markets are positioned, I think many are already in weekend mode.
AstraZeneca has sought to ease concerns about its vaccine, as its share price continues to drop due to questions around the efficacy of it. The company confirmed that further trials will continue but that shouldn’t hold up approval of the vaccine before the end of the year in the UK and European Union, although it may do so in the US.
Brexit talks are continuing, with Michel Barnier returning to London tomorrow after self-isolating as a result of being potentially exposed. The talks have stalled despite being carried out virtually and work will resume in order to get a deal over the line and ready to be approved before the end of the year.
Markets are very relaxed still about the prospects of a deal, with the pound remaining near two and a half year highs against the dollar, although the FTSE is a little lower today and underperforming its peers in Europe. While the final disputes are becoming a little more public again, I remain convinced that a deal will be reached at the eleventh hour, whenever that is.
For a look at all of today’s economic events, check out our economic calendar. www.marketpulse.com/economic-events/