china vaccine Archives

1. Global Stocks Advance, Dollar Weakens

Global stocks rallied, with confidence among investors building on the back of stronger German factory data, the vaccine rollout and the prospect for more U.S. stimulus. Markets were green across the board. The Stoxx 600 Index rose 0.9%, notching a third day of gains, and the DAX Index outperformed. In the U.S., S&P 500 futures were higher and the dollar weakened as investors waited for details from the Federal Reserve’s recent meeting. Economists say the Fed may deliver fresh guidance on its asset purchases and progress in meeting its goals of full employment and 2% inflation.

Futures on the S&P 500 Index increased 0.3% as of early morning London time.

The Stoxx Europe 600 Index jumped 0.8%.

The MSCI Asia Pacific Index increased 0.8%.

The MSCI Emerging Market Index gained 0.8%.

2. Fishing Rights Are Now Major Last Hurdle, EU Says: Brexit Update

European Commission President Ursula von der Leyen said fishing rights are now the last major hurdle to a post-Brexit trade deal, as Prime Minister Boris Johnson warned the U.K. has a “natural right” to control its own waters. With negotiations continuing in Brussels, von der Leyen told the European Parliament that a deal is possible but difficult. “As things stand, I can’t tell you if there will be a deal or not,” she said. Optimism has grown after the two sides agreed to continue discussions past their self-imposed Sunday deadline and the EU’s chief negotiator Michel Barnier said he saw a “narrow path” to a deal this week if differences can be bridged.

3. China Secures 100 Million Doses of BioNTech Vaccine

A Chinese drugmaker has secured 100 million doses of the coronavirus vaccine co-developed by Pfizer and BioNTech, as the country seeks overseas shots in addition to home-made ones to ensure immunization for the world’s most populous nation. Shanghai Fosun Pharmaceutical Group Co., which in March made an agreement with BioNTech to develop and market the mRNA shot in China, will make an advance payment of $300 million for an initial 50 million doses. The German vaccine maker will supply no fewer than 100 million doses for China by the end of 2021, Fosun said in a statement filed with the Hong Kong Stock Exchange.

4. New York Is on a Path Toward a Second Full Shutdown

New York is headed toward a second full shutdown if Covid-19 cases and hospitalizations continue at their current pace, Governor Andrew Cuomo said. “If we do not change the trajectory, we could very well be headed to shut down” all non-essential businesses, Cuomo said Monday at a virus briefing. The state reported 5,712 hospitalizations, an increase of more than 1,000 in the past week. If that pace continues, it will be at 11,000 in a month, and some regions may be overwhelmed, Cuomo said. The increase is of particular concern in dense regions like New York City, the governor said. Cuomo shut down the city’s indoor dining on Monday, even as he cited statistics showing that three-fourths of new cases come from private gatherings.

5. Cathay Still Mired in Covid Trouble With Traffic Down 99%

Cathay Pacific Airways carried just 37,815 passengers in November, down 98.6% from a year earlier, and warned that its second-half losses will be significantly worse than the $1.3 billion haemorrhages in the first six months. Average passenger capacity in the second half is only likely to be 8.4% of pre-pandemic levels, compared with 34.3% in the first half, the Hong Kong-based carrier said Wednesday. Restructuring and impairment costs will add to the pressure on earnings as demand remains elusive. Cathay’s passenger traffic has been down around 99% every month since April as Covid-19 and related travel restrictions decimated demand. November revenue passenger kilometres fell 97.9% from a year earlier, while passenger load factor was just 18.5%.

6. Hong Kong’s Lalamove Seeks Funds at $8 Billion Valuation

Hong Kong’s on-demand logistics and delivery firm Lalamove is seeking new funding round at an $8 billion valuation. The company, also known as Huolala in China, is looking to raise at least $500 million. The startup could raise more depending on investor demand. Founded in 2013 by Stanford graduate and former professional poker player Chow Shing-yuk, Lalamove provides van-hailing and courier services on demand. It operates in 24 markets across Asia, Latin America and the U.S. with a pool of more than 700,000 driver-partners. Lalamove’s business is anchored in China. Transportation and logistics companies have seen a surge in demand globally amid a boom in e-commerce, one of the beneficiaries of coronavirus-driven lockdowns this year.

7. FDA Clears First At-Home, Over-the-Counter Covid-19 Test

The first Covid-19 test that can be performed entirely at home was cleared by U.S. regulators on Tuesday, and it can be acquired without a prescription. While availability will be limited initially, the new test and others in development could make virus screenings as accessible as over-the-counter pregnancy tests in the U.S. for the first time. The advance follows months of criticism that the Food and Drug Administration has been too slow to approve rapid home tests for the virus. Manufactured by East Brisbane, Australia-based Ellume, the self-administered, single-use nasal swab test is small enough to fit in the palm of a person’s hand. It detects proteins on the virus’s surface in 15 minutes and delivers results to an app.

8. Boris Johnson Urges ‘Extreme Caution’ in U.K. Over Christmas

U.K. Prime Minister Boris Johnson urged people to exercise “extreme caution” over Christmas, despite pressing ahead with plans to ease coronavirus restrictions over the holidays. “We can celebrate it sensibly, but we have to be extremely cautious in the way we behave,” Johnson told lawmakers in the House of Commons on Wednesday. As many as three households will be able to gather together for five days between Dec. 23 and 27 in England. Ministers have faced growing demands to rethink the approach after a surge in Covid-19 infections in recent days.

9. German Virus Deaths at Record: Virus Updates

Germany recorded the biggest increase in Covid-19 deaths since the pandemic began as Chancellor Angela Merkel hinted that a hard shutdown that takes effect Wednesday will remain in force beyond January. Tokyo cases rose to an all-time high, while South Korea also reported record infections. China secured 100 million doses of the vaccine developed by Pfizer Inc. and BioNTech SE. In the U.K., almost 140,000 people have been vaccinated against Covid-19. Across the U.S., cases are surging. New York City’s mayor told residents to prepare for a shutdown of all but essential businesses soon after Christmas. California is stockpiling body bags, recruiting medical workers and considering whether to request a U.S. Navy hospital ship.

10. Saudis Stop Disclosing Oil Revenue Following Aramco’s Listing

Saudi Arabia has stopped disclosing projected revenue from oil following the listing of Aramco, as doing so could give clues about the state energy giant’s dividend plans. The kingdom is relying on payouts from Aramco, the world’s biggest oil company, to help plug its budget deficit and bolster an economy that’s been hammered this year by coronavirus lockdowns and the crash in crude prices. The Dhahran-based firm sold shares for the first time in December 2019, though the government still owns around 98% of them.

1. Stocks Rise, Bonds Dip Amid Hope for Stimulus Deal

Global stocks approached another record high as hopes for a U.S. stimulus deal countered fears about resurgent coronavirus cases. Benchmark Treasuries and the dollar slipped for the first time this week. Health-care and banking shares led gains in Europe after equities rose across much of the Asia Pacific. Global equities were energized by the White House’s surprise re-entry into pandemic-relief talks with a $916 billion proposal that opened a potential new path to a year-end deal. S&P 500 futures edged up. Nasdaq 100 contracts slipped following the gauge’s 10th straight gain.

The Stoxx Europe 600 Index climbed 0.7% as of early morning New York time.

Nasdaq 100 Index futures sank 0.1%.

Futures on the S&P 500 Index climbed 0.2%.

The MSCI Asia Pacific Index gained 0.8%.

2. White House Return to Stimulus Talks Boosts Chance of a Deal

Treasury Secretary Steven Mnuchin made a surprise re-entry into talks on a 2020 pandemic-relief package with a $916 billion proposal that opened a potential new path to a year-end deal despite objections from Democrats over elements of the plan. After largely leaving the task to Senate Majority Leader Mitch McConnell since Election Day, Mnuchin pitched a $916 billion stimulus plan to House Speaker Nancy Pelosi in a Tuesday afternoon telephone call. The Mnuchin plan differs in important ways from the alternative that Pelosi and Schumer endorsed as a basis for fresh talks. It includes $600 stimulus payments to individuals, which could win support from both Republicans and Democrats.

3. China State-Backed Covid Vaccine Has 86% Efficacy

China’s state-backed coronavirus vaccine protected 86% of people against Covid-19 in trials conducted in the United Arab Emirates, giving credence to the quickly developed shot that Beijing intends to distribute around the developing world. The data was from trials that included 31,000 volunteers in the UAE, which found the vaccine was highly effective in preventing moderate and severe cases of Covid-19 and had no serious safety concerns. That’s expected to pave the way for full public use of the vaccine and a re-opening of the Gulf nation’s economy. In an early sign of how the vaccine could be a gamechanger to “resume all activities within two weeks” including economic, tourism and cultural operations.

4. DoorDash Set for Trading Debut After IPO Raises $3.37 Billion

DoorDash is making its trading debut Wednesday after raising $3.37 billion in an initial public offering with Airbnb’s IPO set to follow within hours. San Francisco-based DoorDash sold 33 million shares Tuesday for $102 each after marketing them for $90 to $95 each. The company has a fully diluted value of about $38 billion, which includes employee stock options and restricted stock units as detailed in its filings. DoorDash’s IPO is the third-largest U.S. listing this year. The food delivery company is part of a cadre of consumer-facing, web-based businesses that have successfully navigated the coronavirus pandemic and are expected to go public this month.

5. Tesla Shares Are Dramatically Overvalued : JPMorgan

Tesla’s shares are now “dramatically” overvalued and investors thinking of raising their holdings in the company ahead of its impending addition to the S&P 500 Index should not, JPMorgan analyst Ryan Brinkman wrote in a note on Wednesday. The analyst pointed out that in the past two years Tesla shares have risen over 800%. Analysts have raised their price targets by about 450%, and also simultaneously lowered their earnings estimates for the company for the years 2020 through 2024. This data is “strongly suggestive of the idea that something apart from the fundamentals (speculative fervour?) is driving the shares higher,” Brinkman added.

6. Ray Dalio Sees ‘Flood of Money’ With Soaring Asset Prices

Ray Dalio stressed the importance of diversification in a Reddit Ask Me Anything event on Tuesday where he said that a “flood of money and credit” was unlikely to recede. “Assets will not decline when measured in the depreciating value of money,” the billionaire investor told users of the discussion network who asked for his perspective on where financial markets are headed. “I believe that with the enormous amount of debt and money that has been created and will be created in the future, the most important thing to pay attention to is the value of debt and money relative to the value of assets and other currencies.” Dalio added that he saw no reason that stocks couldn’t trade at 50 times earnings and recommended “smart diversification” among asset classes, currencies and countries.

7. Johnson Says No U.K. Leader Could Accept EU Terms: Brexit Update

Boris Johnson said no British prime minister could accept the European Union’s Brexit demands as he prepared to head to Brussels for a showdown with the European Commission’s Ursula von der Leyen on Wednesday. The premier’s team hopes the face-to-face conversation with the Commission president will inject political impetus into the deadlocked process. If the dinner goes well, negotiators could be back in a room hammering out the details within hours. If it goes badly, officials on both sides fear the chances of an agreement being ready before the end of December — when the Brexit transition period expires — will fade away.

8. JPMorgan Says Equities to Get a $1.1 Trillion Boost Next Year

Those with a bullish outlook for stocks in 2021 are set to get another uplift: more demand and less supply to the tune of $1.1 trillion. That’s the conclusion of global market strategists at JPMorgan Chase & Co. as they expect a rise in equity demand of about $600 billion relative to this year. Meanwhile, supply will drop by $500 billion, returning to the very low levels of 2016 to 2018. “This is similar to the equivalent equity demand/supply improvement in 2019 relative to 2018 which at the time had seen global equities rising by around 25%,” JPMorgan said.

9. China’s Yuan Rapidly Falls at Close After Hitting Strongest Level in 2 Years

China’s yuan weakened minutes before Wednesday’s official close, reversing an earlier gain that had pushed the currency to its strongest level in more than two years. The onshore yuan fell as much as 0.26%, touching its session low. The rapid move came after the offshore yuan had earlier strengthened past 6.5 per dollar for the first time since 2018, expanding the gap between the two rates to one of the widest seen this year. A few large Chinese banks were seen buying dollars in a large volume around market close.

10. U.K.’s Vaccine Warning; Merkel Urges Sacrifice: Virus Update

The U.K.’s vaccination campaign hit a snag on its second day as two people with allergies experienced reactions to the shot, and France and Germany battled worsening virus numbers despite weeks of curbs. Chancellor Angela Merkel urged Germans to make an additional sacrifice over the Christmas holidays to contain the coronavirus as the country’s soft shutdown fails to slow its spread. People with a significant history of allergies should not get the vaccine from Pfizer Inc. and BioNTech SE, the U.K.’s National Health Service said after two people experienced reactions. U.S. regulators indicated they may grant the shot emergency-use authorization.