The UK stock-market was lower this week
- Markets remained focused on the coronavirus pandemic with the U.K. reporting its highest number of new coronavirus cases in a single day since the start of mass testing. Prime Minister Boris Johnson decreed tighter social restrictions, advised people to work at home, and increased fines for noncompliance.
- In Europe worries about a second wave of coronavirus across the region and growing uncertainty about the pace of economic recovery rendered the mood bearish.
- The British pound recovered some lost ground as Bank of England Governor Andrew Bailey downplayed the prospect of negative interest rates in the future.
- Our Breadth Indicator stayed negative and our Momentum indicator, turned negative this week.
The US stock-market was lower this week
- The number of people infected with Covid-19 in the United States surpassed 7 million by the end of the week, of which over 203 thousand have died.
- On a more positive note investors were also focused on hopes for further stimulus with Democrats putting together a new proposal for negotiations with the White House and comments from Fed Chair Jerome Powell who said the central bank remains “committed to using our tools to do what we can, for as long as it takes, to ensure that the recovery will be as strong as possible.”
- Our Breadth Indicator stayed negative this week and our Momentum Indicator, although still positive, ticked down again.
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