The US Stock market on Monday closed higher driven by mainly driven by Nasdaq listed Tech stocks Amazon and Apple Inc. At market close, Apple Inc. shares rose by more than 6% while Amazon.com was up 4.75% higher to lift the Nasdaq 100 by over 3%. The Dow Jones finished 0.87% higher while the S&P 500 closed 1.64% higher.
Tech giant Apple Inc will hold its annual event on Tuesday where the firm plans to announce new products, including the iPhone 12. According to media reports, the new iPhone 12 will come in four versions, a new design that includes flat edges and that all the versions will be 5G-compatible. The company will likely also reveal its new MagSafe, a HomePod and over-ear headphones.
US Stimulus Package
The stimulus negotiations between Democrats and the White House are set to continue this week despite having been unsuccessful over the last few days.
Earlier on Friday, Trump noted that he would “like to see a bigger stimulus package, frankly, than either the Democrats or the Republicans are offering.”
Media reports indicate that the new economic stimulus bill is worth $1.8 trillion.
Global Covid19 Cases Top 38 Million
The number of people infected with the coronavirus since the beginning of the pandemic surpassed 38 million on Monday, data compiled from health authorities worldwide showed. Out of those who contracted the disease, around 1.08 million have died, while around 28.52 million recovered.
The US is the most affected country with over 7.8 million confirmed infections, followed by India and Brazil, which registered 7.17 million and 5.1 million coronavirus cases, respectively.
UK Prime Minister Boris Johnson said on Monday that his government will “work hard” to make a deal with the European Union.
A Downing Street spokesperson said on Monday the PM was “clear” with the bloc’s officials that the time to reach an agreement on the future relationship between Brussels and London is “running out.
EU Digital Euro
European Central Bank Executive Board Member Fabio Panetta noted on Monday that the right moment to introduce a digital euro has not yet come, but stressed that ECB will make sure not to be “late” with the release of its digital currency.
He added that the central bank’s main motivation for introducing a digital currency in the future is a global shift towards digital payments which ECB wants to be ready for, but stressed that the process will be neither easy nor “risk-free.”
European Central Bank (ECB) President Christine Lagarde said on Monday there are some good categories of structural changes due to the coronavirus pandemic. She said that in Europe, 50% of employees worked remotely. “Only 10% of them have the urge to go back to the office,” she stated.
“Work as it was, is going to be different and in countries where cash was king, there is now much more confidence in digital payment. ECB is very seriously looking at the digital euro,” Lagarde said. She also added that the digital euro shouldn’t and won’t substitute cash “in any way.”
Crude prices continued to drop on Monday due to oversupply fears. US oil refineries in Gulf Coast states began to pick up again following a halt in production due to Hurricane Delta.
Meanwhile, Libya has restarted oil production at the country’s largest field, Sharara, The Wall Street Journal reported on Sunday, citing sources close to the matter. The news of Libya resuming production also added to fears of oversupply, which have been growing ever since a number of countries began reporting second waves of the coronavirus.
Sharara is currently producing 27,000 barrels a day, the report read and added that the field’s full capacity stands at some 300,000 barrels per day above the current figure.
The oil field has been shut down since the start of the year, but the situation changed when the country’s central government and rebel commander Khalifa Haftar stroke a deal on the oil revenue distribution.