Weekly Excerpt 11/22/2021
Weekly Summary November 15-19
- The U.S. equity market closed mixed, with the Dow Jones down -1,38% for the week, with 24 of the 30 components closing negative. Eight of the eleven S&P 500 sectors had negative returns for the week, however, the index was able to maintain a positive return primarily driven by the consumer discretionary and technology sectors, up 3,81% and 2,37% .
- In Europe, the main indexes closed mixed. The ibex 35 closed its worst week since October 2020. The European market has been affected by an outbreak of Coronavirus that has led different countries to initiate different measures to control the spread. Austria has decided a general shutdown from next Monday. The most affected sectors have been Travel & Leisure (SXTP -3.44%), Banks (SX7P -2.78%) and the Oil & Gas sector (SXEP -2.80%).
- Among the highlights of the week we can mention two important milestones from the US government. On Monday, November 15, President Joe Biden signed the US$ 1.2 trillion infrastructure bill, which aims to transform the economy in the face of the effects of climate change. On November 19, the House of Representatives voted 220-213 in favor of passing the bill named Build Back Better (BBB). The BBB bill will soon head to the Senate for a vote where, as expected, it could be revised and the House would have to pass again before it reaches the president's desk for his signature. This bill could provide a boost to the quality of life for millions of seniors and their families, such as significant improvements, Medicare, expanded home and community-based care services, and more affordable housing options.
| AMERICA | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| DOW JONES INDUS. AVG | 35.601,98 | -1,38% | 16,32% |
| S&P 500 INDEX | 4.697,96 | 0,32% | 25,08% |
| NASDAQ COMPOSITE | 16.057,44 | 1,24% | 24,59% |
| EUROPE | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| Euro Stoxx 50 Pr | 4.356,47 | -0,32% | 22,63% |
| FTSE 100 INDEX | 7.223,57 | -1,69% | 11,81% |
| CAC 40 INDEX | 7.112,29 | 0,29% | 28,12% |
| DAX INDEX | 16.159,97 | 0,41% | 17,79% |
| IBEX 35 INDEX | 8.753,20 | -3,61% | 8,42% |
| SWISS MARKET INDEX | 12.545,01 | 0,23% | 17,20% |
| ASIA | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| NIKKEI 225 | 29.745,87 | 0,46% | 8,39% |
| HANG SENG INDEX | 25.049,97 | -1,10% | -8,01% |
| CSI 300 INDEX | 4.890,06 | 0,03% | -6,16% |
| BONUS | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| US TREASURY 10Y | 1,54 | -1,51% | 85,42% |
| US Generic Govt 2 Yr | 0,51 | -0,93% | 214,33% |
| GERMANY 10 YR | - 0,34 | -32,20% | 40,11% |
| UK 10 Yr | 0,88 | -3,81% | 172,14% |
| COMMODITIES | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| WTI | 76,10 | -5,81% | 56,84% |
| BRENT | 78,38 | -4,61% | 51,31% |
| NATURAL GAS | 5,03 | 5,03% | 98,19% |
| CORN | 570,50 | -1,17% | 17,87% |
| WHEAT | 823,25 | 0,76% | 28,53% |
| GOLD $/oz | 1.848,70 | -1,06% | -2,45% |
| SILVER $/Oz | 24,63 | -2,82% | -6,75% |
| COPPER | 439,20 | -1,29% | 24,81% |
| PLATINUM | 1.033,47 | -4,82% | -3,61% |
| COINS | QUOTE | Δ %5 Days | Δ % YTD |
|---|---|---|---|
| EURUSD | 1,13 | -1,36% | -7,59% |
| AUDUSD | 0,72 | -1,36% | -6,00% |
| CADUSD | 0,79 | -0,78% | -0,67% |
| CHFUSD | 1,08 | -0,78% | 4,93% |
| GBPUSD | 1,34 | 0,25% | -1,63% |
| CNYUSD | 0,16 | -0,12% | -2,14% |
| JPYUSD | 0,01 | -0,06% | 10,33% |
| USDBRL | 5,61 | 3,80% | -7,34% |
| USDMXN | 20,85 | 1,62% | -4,49% |
| USDCOP | 3.916,18 | 0,97% | -12,42% |
| XBTUSD | 57.724,00 | -9,95% | 99,09% |
To keep in mind during the week
- It is a short week for the financial markets in the US, on Thursday the US stock market will be closed for the Thanksgiving holiday and on Friday the market will close at 13:00.
- Investors will be watching different economic data such as existing home sales, durable goods data, GDP data and the release of the FOMC minutes from the central bank's last meeting, at which Fed members decided to begin tapering the purchase program.
- Investors will be watching for news from the White House about a change in leadership at the Fed. There are rumors that Joe Biden may decide before Thanksgiving whether to keep current Fed Chairman Jerome Powell or promote current Fed Governor Lael Brainard to the position. A change in the head of the central bank could create high levels of market volatility.
- The holiday shopping season begins in earnest on Friday after the Thanksgiving holiday, The U.S. is in the midst of high inflation and supply shortages, however recent retail sales data has shown some strength on the part of U.S. consumers.
- According to the latest report from China's central bank, it is considering possible easing measures in its monetary policy to help the economy recover as growth weakens. The People's Bank of China removed some key phrases cited in previous reports, including sticking to "normal monetary policy", suggesting a shift in stance towards a more supportive monetary policy. Economists say any easing measures are likely to be directed towards small businesses and green finance.
- Former U.S. Secretary of State Henry Kissinger says he does not foresee a Chinese military invasion of Taiwan in the next decade, although it is "perfectly possible" that China will seek to weaken the island's status.
- Tens of thousands of Europeans protested over the weekend as Austria, Belgium, Germany and the Netherlands put in place new restrictions against COVID-19 after a resurgence of coronavirus cases. The World Health Organization calls Europe a hot spot where coronavirus deaths are on the rise.
- The corporate earnings season is coming to an end, however in this short week one of the companies most favored by the COVID-19 pandemic stands out, Zoom Video Communications. The stock has fallen nearly 30% since the company reported second-quarter earnings amid fears of slowing growth as schools and businesses return.
- The week has not started well for oil which fell to seven-week lows on concerns about oversupply and rising worries that renewed COVID-19 restrictions could hurt demand. Japan said it was weighing releasing oil stockpiles and helping to counter rising oil prices following a U.S. request to release oil from its emergency stockpile.
- Salvadoran President Nayib Bukele announced that his government will build a "Bitcoin City" at the base of a volcano on the country's coast. This development will initially be financed with bonds issued in the bitcoin ecosystem, for a value equivalent to about US$1 billion.
Corporate Calendar
Before market opening
