Rare tough! The American election! Both China and the US have the latest news! A more worrying scenario for global markets is looming: gold could plunge as much as $20.

In European markets on Thursday, global risk sentiment cooled and European and U.S. stocks came under selling pressure. Major European indexes all fell, while U.S. stock futures also retreated. In currency markets, the DOLLAR index rebounded, hitting a session high of 92.73. The euro fell as low as $1.1819, near the $1.18 mark. Spot gold fell sharply, falling as low as $1,854.96 an ounce for the day and as high as nearly $20. The analysis noted that the global severity of the COVID-19 epidemic, particularly in Europe and the US, as well as the steep rise in the number of deaths, has led to growing confidence in the economic recovery, which has cooled market risk sentiment. It is also a source of concern because the path to fiscal stimulus in the US remains far off. On the U.S. / China front, we also have the latest news today: A State Department report Tuesday identified 10 tasks that the United States needs to accomplish to address China’s challenges. China’s latest response. In addition, China today issued a “rare” stern response to the five-Eyes Alliance’s statement on Hong Kong: “The Five-Eyes Alliance should be careful about being blinded in the eye!”

European and us stock markets: European markets were broadly lower today, with Germany’s DAX30, Britain’s ftse 100, France’s CAC40, Italy’s ftse MIB and the euro stoxx 600 down 0.9%, 0.8%, 0.3% and 0.7% respectively at press time. U.S. stock index futures also fell, with the Dow, S&P 500, Nasdaq and Russell 2000 futures down 0.2%, 0.2%, 0.3% and 0.3%, respectively.

According to a recent yahoo Finance article, the number of coVID-19 cases and deaths continues to rise, and the European market is weakening. Markets cheered progress in vaccine trials for COVID-19, but the immediate economic and physical cost of the pandemic remained a concern on Thursday.

The number of coronavirus-related deaths in the United States has reached 250,000. On Wednesday, deaths in Italy and Turkey also reached their highest levels since April, while the number of cases in Germany, Britain and France appeared to have leveled off. In Spain, coronavirus-related deaths are also on the rise again.

U.S. stocks closed lower on Wednesday as COVID-19 restrictions continued to strengthen. New York City has now closed its public schools because of the rise in cases.

Michael Hewson, chief market analyst at CMC Markets, said: “With infection and hospitalization rates rising and the risk that the current lockdown restrictions will either remain in place or be extended until 2021, the likelihood of any economic losses becoming permanent will only increase.”

“These risks need to be offset by the long-term benefits of a viable vaccine that, even if it starts coming out next year, could take as long as two years to really work,” He said.

Meanwhile, Pfizer (PFE) and BioNTech (BioNTech) reported on Wednesday that their final analysis of phase 3 trials showed the vaccine to be 95 percent effective against COVID-19, matching the Moderna vaccine trial results.

Most notably, the effectiveness rate is 94 per cent for people over the age of 65, which will help protect the most vulnerable and normalise society more quickly when the government begins its immunization campaign.

Yahoo Finance also cited Brexit as a major factor in risk sentiment in the UK market.

The pound was hit by a report in The Times overnight that European leaders would ask The Commission to publish a no-deal plan later on Thursday. There are fears that brexit negotiations are continuing even as companies do not know how to prepare for the worst.

There have also been reports that Britain could announce a trade deal with Canada as soon as Thursday to replace one it would lose during the transition from the EU.

In currency markets, the DOLLAR rebounded, rising as high as 92.73 on the day. GBP/USD fell as low as near 1.32 mark. FX168 had previously pointed out in the article that The Times triggered the brexit no deal news, sterling suffered. Overall, however, traders are cautious about today’s EU summit.

As The Times notes, UK policymakers remain cautiously optimistic in their latest comments, in spite of disappointment over brexit discussions in key EU members such as France, Belgium and the Netherlands. While Brexit is likely to be discussed at an EU summit on Friday, any early signals will be key for sterling/dollar traders.

Technically, GBP/USD has yet to confirm a downside breakout in the short-term uptrend triangle despite the recent sell-off. Further selling would therefore need to be well below 1.3220, with the next target being around the 100 moving average and mid-November low of 1.3105/3100.

In dollar terms, the dollar’s gains, despite its current safe-haven rally, have been tempered by the belief that the Federal Reserve will step up stimulus measures to make up for the shortfall in US fiscal policy.

As the dollar rebounded, gold fell sharply today, on course to break below the crucial 1850 support, as low as $1,854.96 an ounce. HSBC cut its gold price forecast in recent days, citing two big bears weighing on the gold market.

The bank said the dollar’s rise and the rise in US bond yields were the two main bears on gold’s rise. “Moreover, the rally in equities has also shown an improvement in risk sentiment, which has also weighed on the medium-term performance of gold. Gold could fall further towards $1,800 / oz support.”

Us-china Situation: China responds to 70-page ANTI-China report by US

In financial markets today, Yahoo Finance notes that some of the key speeches to watch later Thursday include Cleveland Fed mester and Boston Fed Rosengren. Economic data include weekly jobless claims. Eu leaders will meet by video conference on Thursday evening.

In addition to the latest on the outbreak and the US election, FX168 previously reported on the US election: the chairman of the Georgia Republican Party revealed on Wednesday local time that recount monitors in The state had found 9,626 ballot errors in a manual recount in DeKalb County.

David Shafer, chairman of the Republican Party of Georgia, posted on social media, “A REPUBLICAN ballot monitor found 9,626 votes were counted incorrectly. A cluster of 10,707 votes were counted for Biden and 13 for Trump — a gap that is implausible by Dekalb County standards. The reality is 1,081 for Biden and 13 for Trump.”

“If this counting error had not been discovered, Biden would have received enough votes from that batch alone to cancel out trump’s votes from Fayette, Floyd and Walton,” Shafer added.

Us-china situation: FX168 previously reported that Axios learned on Tuesday (17 November) that the State Department’s Office of Policy Planning will release a blueprint for the US to address China’s rise as an “authoritarian superpower”.

The lengthy document called for a strong coalition and the restoration of constitutional democracy, according to a copy obtained by Axios.

The unclassified document, The Elements of The China Challenge, was inspired by an influential article published in 1947 by George Kennan, The US diplomat who founded The policy planning group. In his article Kennan proposed a strategy to contain the Soviet Union.

The state Department document, more than 70 pages long, looks at the Communist Party’s “pernicious behavior” and its ideological origins, China’s vulnerabilities, and how the United States and its Allies should respond.

“In the face of China’s challenge, the United States must return to basic principles,” the document said. The US must develop “robust policies that transcend bureaucratic feuds and institutional turf wars and short election cycles”. The first goal of the United States should be to secure freedom.”

Zhao Lijian, spokesman for the Chinese Foreign Ministry, said on Monday that the document was another collection of anti-China lies concocted by “living fossils of the Cold War” from the US State Department and “could only be relegated to the dustbin of history”.

“The document fully exposes the deep-rooted Cold War mentality and ideological bias of some people on the US side, as well as their fear, anxiety and unhealthy mentality towards China’s growing strength,” Zhao said at a regular press conference. Their attempt to revive the sinister plot of the Cold War is bound to be spurned by the Chinese people and the peace-loving people of the world. It is doomed to failure and will only be swept to the dustbin of history.

In addition, Reuters reported, local time on November 18, Australia, Britain, Canada, New Zealand, the United States, foreign ministers issued a joint statement said Hong Kong lawmakers qualification loss “in violation of the provisions of the Sino-British joint declaration of the legally binding international obligations, breach of commitment to Hong Kong” a high degree of autonomy “, and against “free speech” rights “.

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