- Global stock markets are falling, with tech stocks hit especially hard. Analysts are tending to attribute the dip to an increasing fear of inflation.
- The Forex market saw the British pound rise very strongly yesterday, while the Canadian dollar hit a new 3.5-year high against the U.S. dollar. The Japanese yen appears to be the weakest major currency. This move is likely to continue over the coming days.
- The cryptocurrency Ethereum has continued to hold up near its recent all-time high, while Bitcoin has fallen more strongly. Ethereum appears to be the strongest major cryptocurrency.
- The price of gold has held up near its 3-month high made Friday, and appears likely to rise further over the coming days.
- Last week saw the first weekly fall in global new confirmed coronavirus cases and deaths in nine weeks, suggesting that the current wave of the pandemic may be beginning to retreat. The worst-hit country at present is India, which over recent days has seen more than 4,000 deaths and 400,000 new cases per day over recent days, although many consider these figures to be strongly underestimated. The Indian health care system is struggling to cope.
- Total confirmed new coronavirus cases worldwide stand at over 159.6 million with an average case fatality rate of 2.08%.
- The fastest progression in terms of immunizing a population against the coronavirus in all but the smallest states has been in Israel, which has given at least one shot to 63% of its entire population followed by the U.K. at 52%. For most of the world, a vaccine remains distant. However, the pace of vaccination in the European Union, which now has immunized 28% of its population, has picked up significantly.
- The rate of new coronavirus infections appears to now be increasing most quickly in Afghanistan, Algeria, Bahrain, Bolivia, Costa Rica, Denmark, Egypt, Georgia, India, Japan, Malaysia, Nepal, Sri Lanka, Trinidad, Vietnam, and Uzbekistan.
Forex Today: Stocks Drop on Inflation Fears
By Adam Lemon
Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.
The CAD and GBP are strong, while the Japanese yen is the weakest major currency.