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Stocks fall and shelters recover as new Covid-19 variants spy on investors

SYDNEY: Stocks fell, heading for the biggest weekly fall in almost two months on Friday. Meanwhile, safe haven assets such as bonds and the yen have recovered as a new virus variant swirling with concerns about future growth and rising US interest rates.
Detected by South African scientists, this variant has the potential to evade an immune response, and the UK has rushed to introduce a travel ban in South Africa.
South African rands, like US crude oil futures, fell 1% in early trading. S & P 500 futures fell 0.4%, while risk-sensitive Australian and New Zealand dollars fell to their lowest in three months.
Ray Atrill, Head of FX Strategy at the National Australia Bank in Sydney, said: “When this kind of news erupts, you shoot first and ask questions later.”
Nikkei in Japan fell 1.7% in early trading and Australian stocks fell 0.6%.
MSCI’s widest non-Japanese Asia-Pacific stocks fell 0.2% to 1% per week, with global equities still close to record highs, but headed for the largest drop of 0.7% since early October week.
Little is known about new variants. However, scientists told reporters that there are “very rare constellations” of mutations because they can help avoid the body’s immune response and make it more contagious.
British officials believe this is the most important variant to date and are concerned that it may resist the vaccine.
At the opening in Tokyo after Thanksgiving holidays, the Treasury’s move was sharp as yields rapidly receded part of the week’s rise. The benchmark 10-year yield fell 5 basis points to 1.5927%.
The yen rose about 0.4% to $ 114.91 per dollar and gold rose 0.2% to $ 1,792 per ounce.
The move is due to concerns that the outbreak of COVID-19 is causing restrictions on movement and activity in Europe, and that the market will aggressively raise prices in the United States next year. ..



Stocks fall and shelters recover as new Covid-19 variants spy on investors

Source link Stocks fall and shelters recover as new Covid-19 variants spy on investors

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