Global markets fell on Monday, with several indices having their worst day in months, like this one increasing prospect of tighter economic restrictions To control the surge in coronavirus infections, investors got mad.
In Europe it is The Stoxx Europe 600 benchmark fell by 2.6 percent. The FTSE 100 in London was 3.4 percent lower, and in Frankfurt the DAX lost 3.2 percent. The Hang Seng in Hong Kong lost 2.1 percent and the Shanghai Composite 0.6 percent.
Wall Street stocks were poised to follow suitThe futures on the S&P 500 point to a decline of more than 1.5 percent. US stocks have fallen for three straight weeks, a decline that caused the S&P 500 to fall 7 percent from the September 2 record.
One reason for this downturn was Washington’s inability to propose a new coronavirus relief billRepublicans and Democrats disagree on the size and focus of spending more. Tensions between the two parties increased over the weekend following the death of the Supreme Court judge. Ruth Bader Ginsburg left one seat open and there was disagreement about whether to replace her before or after the November elections.
Investors switched to fixed income securities, with the 10-year US Treasury bill gaining in price. Oil futures fell around 2 percent.
Among the reasons for fainting: Countries around the world are reporting significant increases in coronavirus cases. Just as the cooler weather is coming to the northern hemisphere and drawing more people in. In the United States, the daily number is rising again as universities and schools reopen. In total, at least 73 countries have seen an increase in newly discovered cases.
The new cases have forced the authorities to impose new restrictions on social and economic activity. This is because some government efforts to support businesses and workers, such as the UK’s vacation program to prevent workers from being laid off, are about to be phased out or scaled back.
Banks’ stocks plummeted after BuzzFeed News revealed a cache of documents known as suspicious activity reports Big banks helped suspected terrorists, drug traffickers and corrupt foreign officials Moving trillions of dollars around the world. For example, in the United States, stocks of JPMorgan Chase were down more than 4 percent in early trading.
Among the stocks that were particularly hard hit on Monday: IAG, the parent of British Airways and Iberiawas down nearly 15 percent as virus continues to destroy travel plans; and HSBCThe London-based lender based in London then fell more than 5 percent in Hong Kong a report in China The bank could be added to Beijing’s list of unreliable companies, a list of companies that could be restricted due to actions that harm the country’s interests.
European energy companies like BP, Royal Dutch Shell and others have recently sold oil fields as well Invest billions in renewable energies, a response to falling oil prices and growing concerns about climate change.
But the American oil giants Chevron and Exxon Mobil are going in a completely different direction. They are doubling up on oil and natural gas and investing in innovative climate-focused measures like small nuclear power plants and devices that add up to pocket money Sucking carbon out of the air.
The inequality reflects the large differences in the way Europe and the United States approach it Climate changeA global threat that many scientists say will increase the frequency and severity of disasters such as forest fires and hurricanes. European heads of state and government have made combating climate change a top priority for President Trump called it a “joke” and has dismantled environmental regulations encourage the exploitation of fossil fuels.
Major American and European oil and gas companies publicly agree that climate change is a threat and that they must play a role in the kind of energy transition the world last saw during the industrial revolution. The urgency with which companies want to reshape their businesses couldn’t be more different.
“Despite rising emissions and societal demand for climate action, US oil companies are banking on a long-term future for oil and gas while the European majors are banking on a future as utility companies,” said David Goldwyn, a senior US State Department official in Utilities the Obama administration. “The way the market reacts to its strategies and the 2020 election results will determine whether either strategy works.”
When auto sales in Europe collapsed due to the pandemic, one category grew rapidly: electric vehicles.
One reason for this is that purchase prices in Europe are excruciatingly close to prices for cars with gasoline or diesel engines. For example:
An electric Volkswagen ID.3 for the same price as a Golf.
A Tesla Model 3 that costs as much as a BMW 3 Series.
A small electric car from Renault Zoe, whose monthly leasing rate equates to a nice dinner for two in Paris.
This almost equal situation is only possible with government subsidies, which, depending on the country, can deduct more than US $ 10,000 from the final price. Car manufacturers are offering deals on electric cars to meet the European Union’s stricter regulations on carbon dioxide emissions. Electric vehicles are not that popular in the US, largely because government incentives are less generous.
As electric cars become more widespread, the automotive industry is rapidly approaching a tipping point where, without subsidies, it will be just as cheap and perhaps cheaper to own a plug-in vehicle than one that burns fossil fuels. The automaker who reaches price parity first can be positioned to dominate the segment.
A few years ago, industry experts expected that 2025 would be the turning point. However, technology is advancing faster than expected and could be prepared for a quantum leap. Elon Musk is expected to announce a breakthrough on Tesla’s “Battery Day” on Tuesday that would enable electric cars to drive significantly further without gaining weight.
The balance of power in the auto industry can depend on which automaker, electronics company, or start-up manages to squeeze the most power per pound into a battery, known as energy density.
“We are seeing that the energy density is increasing faster than ever before,” said Milan Thakore, senior research analyst at Wood Mackenzie, an energy advisor who recently moved its tipping point forecast forward one year to 2024.
President Trump has approved a deal that will be upheld Tick tock In the US, a month-long saga runs between the social media app and the White House, in which the platform was viewed as a threat to national security.
TikTok downloads should be banned in the US from midnight on Sunday. But in one Deal announced on SaturdayThe app said it would part with its Chinese parent company. ByteDanceand become an independent entity called TikTok Global. oracle would become TikTok’s new cloud provider Walmart would offer its “omni-channel retail capabilities,” the companies said.
Oracle and Walmart would hold a cumulative 20 percent stake in TikTok Global, which is expected to hire 25,000 US employees over an undisclosed period and go public sometime next year. According to a joint announcement by Oracle and Walmart, TikTok also promised to pay $ 5 billion in “new tax dollars to the US Treasury Department.”
Mr Trump declared the deal successful and blessed it, saying on Saturday that TikTok “would have nothing to do with China, it will be perfectly safe, this is part of the deal.”
The deal gives Americans more control over TikTok, with four of the five members of the new company’s board of directors being American. However, the deal does not meet Mr. Trump’s original call for a full sale of TikTok, and it does not remove China from the mix. According to the initial determinations, ByteDance still controls 80 percent of TikTok Global, two people with knowledge of the situation said, although details can change.
Lawmakers, policy specialists, and others said the way TikTok’s deal was closed also deserves scrutiny.
“There aren’t any,” said Carl Tobias, a law professor at the University of Richmond who focuses on federal courts and the Constitution. “Is it really about trade or the political benefits of trying to beat up China and show how tough the government can be?”