President Donald Trump has said that COVID-19 destruction could have been stopped by China
|As US COVID-19 cases rise 1.5%; below a 1-week average of 1.6%, US President Donald Trump has said that COVID-19 destruction could have been stopped by China.
The country is ready to start moving forward and says that 2021 will be a great year from the economy’s standpoint. Realistically, it will boil down to whether the economy can get back to work without provoking the virus and the Federal Reserve's Chairman, Jerome Powell, argues that a full economic recovery may require a COVID-19 vaccine first.
Meanwhile, in other news of late, tensions between China and the US have never been hotter: A war of words: I call on China to expand the number of nuclear warheads & enhance nuclear deterrence – Global Times.
Market implications
The foundations are being layered down for a troublesome rest of the year and 2021. For a start, traders are concerned for the day to day strategic means for reopening economies pertaining to the COVID-19 lockdowns.
On Friday, "the market’s sentiment continued to fluctuate between fears of economic downturns and hopes on reopenings. Treasury yields remained depressed throughout the week," – FXStreet
Then, there are trade war tensions to contend with. Meanwhile, while the prospect of a war between the US and China has been simmering away on the backburners, it is still not considered as an immediate threat in the markets. However, the yen and US dollar, gold and Bitcoin are favoiured as safe haven instruments in theese times.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.