- Traders continue to waver between optimism on relaxing lockdown plans and pessimism on warnings of a second wave
- Corporate results continue to reveal deep losses
- Fedspeak considers increasing bank reserves amid potential mass bankruptcies
U.S. futures for the Dow Jones, , Nasdaq and all fluctuated on Wednesday and European stocks dropped, following a Wall Street selloff late in Tuesday’s session. U.S. markets turned lower after Dr. Anthony Fauci, one of the country’s top health officials, warned during his Senate testimony yesterday that the coronavirus pandemic was not yet contained. As well, he predicted that if the economy reopened too soon, without proper precautions and testing in place, “we run the risk of having a resurgence.”
Adding the the dire newsflow, a variety of deflated hopes of a return to the old normal, though the possibility of negative rates has been ruled out…for now.
Rising Treasurys boosted the dollar at the expense of gold.