Daily Market Outlook – The US premarket indicates a positive opening

Yesterday, bears prevailed and the equities market recorded losses especially NAS100 that fell by 1.9%. Nevertheless, today’s opening looks better as EU markets have soft gains with GER30 at b/e, FRA40 at +0.24%, and UK100 +0.35%.  SPX500 is moving upwards in the premarket while NAS100 is trying to hold yesterday’s low.

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US news: Facebook is in yet again hot water as the US government and a coalition of 48 states and districts filed parallel lawsuits against the tech giant citing anticompetitive behavior.  Facebook has held a monopoly over the social media industry since its acquisitions of Instagram and Whatsapp, the foundation of the antitrust actions focus on whether this monopoly blocked market access and market share of its competitors. 

In other major US news, the House of Representatives has confirmed it will extend its bill on government funding by one week so as to provide sufficient time to finalize the agreement for its COVID-19 relief package. 

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EU-UK news: Brexit talks between British Prime Minister, Boris Johnson, and European Commission President, Ursula von der Leyen, has been extended until Sunday; all the while Clement Beaune, French European Affairs Junior Minister, announced UK citizens might require a visa in order to stay in the EU.

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Corporate news: DoorDash has exploded to 85% after its successful market debut and IPO. The leading food delivery app started trading on the New York Stock Exchange on Wednesday. Starbucks is planning to increase its number of stores by 22,000 over the next 10 years as they are expecting an increase of 10% to 12% on the adjusted earnings per share in the long term.

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Macros: Earlier today, the AU consumer inflation expectations remained stable at 3.5%, the UK Construction output was improved by 2.5% at -7.5% while the Industrial Production YoY dropped -7.5% from -10%. Later today, we expect ECB interest rate to remain stable at 0%, the US Inflation Rate YoY, the US Initial jobless claims where is anticipated to fell at 710k.

Disclaimer

The views expressed do not constitute investment or any other advice /recommendation /suggestion and are subject to change. Reliance upon information in this material is at the sole discretion of the reader. Opinions expressed in the report do not represent the opinion of ZuluTrade Social Trading Platform and do not constitute an offer or invitation to anyone to invest or trade.