Virus cases continue to surge in Europe, symbolised by the two German Government Ministers being diagnosed with the virus, while the UK Government reacted to their own predicament. The British Government has introduced a new stimulus/bailout financial package, to assist the economy and business in these testing times and assist the return to work. The Government is also reversing reopening measures, as reinfection rates surge. The GBP traded 1.2750, while the EUR drifted to 1.1670, mired by the virus.
US New Home Sales broke over 1 million, up 4.8%, while Weekly Jobless Claims were higher than expected. Equity markets rebounded, after the big losses in the previous session, but this may just be a consolidation before the correction plays out? The stronger reserve has forced the trade exposed commodity currencies lower. The AUD fell back to 0.7050, while the NZD attempted to hold 0.6550, after some disappointing trade numbers were released yesterday.
The virus and the political reaction will drive the economic narrative, while markets also react to political and economic fallout from developments, in the lead into the US Presidential election.