Friday 09.10.2020 brought curiosity to European stock markets despite the significant rise in China’s service sector and new hope of a multi-billion U.S. stimulus package.
Earlier today, China’s Caixin Services Purchasing Managers Index increased to 54.8 in September meaning that the index remained in the green for five consecutive months, signaling the world that China, the world’s 2nd largest economy, is on the path to recovery.
Positive data doesn’t affect European stocks as the latest economic data in the UK pointed to the slowdown of the economic recovery, with manufacturing production rising 0.7% instead of 3.0% that was expected, and industrial production raised just 0.3% against the predicted 2.5%.
The news is not all good for Europe. The latest economic data in the UK show the slowdown of the economic recovery, with manufacturing production going up only 0.7% instead of the expected number of 3.0%, and industrial production rising just 0.3% where the predicted number was 2.5%.
Meanwhile, COVID-19 cases are on the rise with no end in sight. The World Health Organization (WHO) reported an astonishing one-day record increase in the global COVID-19 cases on Thursday 09.10.2020. As data suggest, Berlin held the worst outbreaks in Germany, whereas in the UK, 17,540 new cases were reported on Thursday.
Hurricane Delta is gathering strength before it enters the Gulf of Mexico, halting oil production almost entirely and nearly 65 percent of the natural gas output in the region, i.e. 1.67 million barrels a day, that is approximately 92% of the Gulf of Mexico’s total oil output. To elaborate further, Hurricane Katrina severely damaged or demolished more than 100 offshore platforms. Adding the number from the oil workers’ strike in Norway, 3.17 million barrels a day are deducted from the oil markets globally.
Honda Motor Company revealed its plan to redesign the exterior and the marketing strategies for its sports utility cars and trucks targeting U.S. consumers who are willing to pay premiums for other automakers' products that offer off-road, thrill-seeking, and rugged images. Honda is hoping that by adopting this new approach, its Ridgeline sales will reach 50,000 trucks a year from about 33,000 in 2019. The automaker’s fiscal year is ending on March 31, and the company already forecasts a 68% decline in its international operating profit mainly due to the pandemic.