By Peter Nurse
Investing.com – European stock markets are expected to open a little lower on Tuesday, weighed by weakness on Wall Street as time runs out for a new US stimulus package as European governments continue to tighten public health to stop the spread of Covid-19.
At 2:05 am ET (0605 GMT), the contract in Germany was down 0.1%, in France was down 0.7%, and the contract in the UK was down 0.4%.
In the United States, shares closed lower on Monday in doubt that lawmakers across the country will reach a stimulus deal before the deadline imposed on Tuesday by House Speaker Nancy Pelosi.
The decline of 1.4%, the close of 1.6% down and the decline of 1.7%.
Pelosi’s statement on Monday evening that differences were narrowing in talks with Treasury Secretary Steven Mnuchin briefly raised hopes that a deal could be reached before the presidential election. But most investors seem to think the gulf between the two sides is still too wide, and the bad feeling too deep, for a package to be agreed today.
Meanwhile, the number of Covid-19 cases around the world also continues to rise steadily, exceeding 40 million, according to data from Johns Hopkins University. Ireland declared a six-week lockdown of non-essential businesses on Monday evening in the latest indication that European authorities are struggling to bring the virus back under control.
Europe was hit hardest by the second wave, but the number of new cases in the United States last week also increased 13% to more than 393,000, approaching levels last seen during the summer peak, according to a Reuters analysis.
Back in Europe, exchange operator Euronext (PA 🙂 said its exchanges should open smoothly, after a software glitch caused its worst outage in two years on Monday, which resulted in a failed auction close.
In corporate news, UBS (NYSE 🙂 will be in the spotlight after the Swiss banking giant posted a doubling of its profit in the third quarter, supported by a solid performance in investment banking as well as an unexpected rise in benefits of wealth management.
Oil prices weakened on Tuesday amid lingering concerns about future oil demand as the number of Covid-19 cases continues to rise, especially in major oil-consuming countries in Europe and in the USA.
Traders will be on the lookout for the American Petroleum Institute later Tuesday, with analysts expecting U.S. oil and distillate inventories to have fallen in the past week.
futures traded 0.4% down to $ 40.91 a barrel, while the international benchmark fell 0.4% to $ 42.46.
Elsewhere, it fell 0.4% to $ 1,903.55 / oz, as it traded 0.1% higher at 1.1775.
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