Just as we thought that the Trump administration's hardline on China would be a thing of the past, the new Biden administration is taking over the baton from both the trade front and on the virus.
In recent headlines, the United States wants a “robust and clear” international probe into the origins of the Covid-19 pandemic in China, White House spokeswoman Jen Psaki said Wednesday.
She said it was “imperative we get to the bottom” of how the virus appeared and spread worldwide when she spoke to reporters overnight, highlighting “great concern” over “misinformation” from “some sources in China.”
US prior US president supported a theory that the virus could have originated in a lab at the Wuhan Institute of Virology, something China rejects.
In recent days, as the new US president was being sworn in, the State Department proclaimed the Chinese Communist Party’s “deadly obsession with secrecy and control and said that Its staff at the Wuhan lab had fallen sick with symptoms resembling Covid-19 in 2019 without making the cases known, concealing the present dangers, so to speak.
The new Biden government will be devoting significant resources of its own to understanding what happened and would not take the WHO report for granted, Psaki said.
Meanwhile, global Covid cases have topped 100 million as new strains emerge.
China, however, has reported its lowest daily increase in new COVID-19 cases in nearly three weeks on Thursday, suggesting aggressive countermeasures have helped slow a recent outbreak in the country's northeastern provinces.
Whereas in the US, the nation remains the leader in recorded cases of the coronavirus with more than 25 million infections. India ranks second with more than 10.5 million cases, and Brazil third with almost nine million, according to John Hopkins.
Market implications
As can be seen, the commodity-fx complex is not in favour following the Federal Reserve's obvious concerns about the new variant and a protracted economic recovery on a global scale after the FOMC and Jerome Powell's presser:
-637473946401919521.png)
For this reading, the dollar has caught a bid as it attempts to break to the key resistance on the daily chart:
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD consolidates gains below 1.0700 amid upbeat mood
EUR/USD is consolidating its recovery below 1.0700 in the European session on Thursday. The US Dollar holds its corrective decline amid improving market mood, despite looming Middle East geopolitical risks. Speeches from ECB and Fed officials remain on tap.
GBP/USD clings to moderate gains above 1.2450 on US Dollar weakness
GBP/USD is clinging to recovery gains above 1.2450 in European trading on Thursday. The pair stays supported by a sustained US Dollar weakness alongside the US Treasury bond yields. Risk appetite also underpins the higher-yielding currency pair. ahead of mid-tier US data and Fedspeak.
Gold price shines amid fears of fresh escalation in Middle East tensions
Gold price rebounds to $2,380 in Thursday’s European session after posting losses on Wednesday. The precious metal holds gains amid fears that Middle East tensions could worsen and spread beyond Gaza if Israel responds brutally to Iran.
Ripple faces significant correction as former SEC litigator says lawsuit could make it to Supreme Court
Ripple (XRP) price hovers below the key $0.50 level on Thursday after failing at another attempt to break and close above the resistance for the fourth day in a row.
Have we seen the extent of the Fed rate repricing?
Markets have been mostly consolidating recent moves into Thursday. We’ve seen some profit taking on Dollar longs and renewed demand for US equities into the dip. Whether or not this holds up is a completely different story.