Morning wrap 19.02.2021

  • US indices finished yesterday’s trading lower. S&P 500 dropped 0.44%, Dow Jones declined 0.38% and Nasdaq finished 0.72% lower. Russell 2000 slumped 1.67%

  • Stocks in Asia are trading lower as well. Nikkei dropped 0.72% and S&P/ASX 200 declined 1.34%. Kospi is trading 0.5% higher while indices from China trade mixed

  • DAX futures point to a higher opening of the European session

  • US Treasury Secretary Janet Yellen said that current stock market valuations are very high amid low-interest rate environment and that investors should be careful

  • President Biden repeated that the United States has to go big on Covid-19 relief. In other news, it was reported that senior Democrats discussed $3 trillion jobs and infrastructure package (in addition to current $1.9 trillion package)

  • House Speaker Pelosi said that vote on $1.9 stimulus package will take place by the end of next week

  • US is open to meeting with Iran to find a “diplomatic way forward”

  • Australia may approve a permanent increase in unemployment benefits instead of extending current Covid-related $150 benefit

  • Prime Minister of South Korea said he is considering launching fifth round of cash handouts

  • According to German Finance Ministry, tax revenues in the country were 11.1% YoY lower in January

  • Japanese manufacturing PMI index jumped from 49.8 to 50.6 in February (exp. 50)

  • Oil trades lower as oil companies in Texas slowly restart production

  • Precious metals pull back

  • Bitcoin trades near $51,500

  • AUD and NZD are top performing major currencies while CAD and CHF lag the most