When can we expect a vaccine in the EU?
The European regulators did not plan a meeting until 29 December, during which they would issue an opinion on the Pfizer / BioNTech vaccine, which would be distributed in the Member States, which would specifically implement the regulator’s decision. Approval by Member States is expected to take place three to four days after approval of the vaccine by the EMA.
The European regulator also postponed the evaluation of the competing vaccine from Moderna to 12 January. Both vaccines were originally scheduled to be evaluated by the EMA on 22 December.
“As a company based in the heart of Europe, a milestone is important to us [Monday’s submission of the vaccine for approval] as we continue to strive for global [vaccine] deliveries,” said Ugur Sahin, co-founder and CEO of Mainz BioNTech.
OECD outlook for the world economy
According to the Organization for Economic Co-operation and Development (OECD), the world economy should fall by 4.2 per cent. With the OECD outlook, it updated its September forecast, according to which global gross domestic product was to fall by 4.5 per cent this year. It is expected to grow by 4.2 per cent next year, while the growth of 5 per cent was originally expected next year.
OECD chief economist Laurence Boone said: “We are not out of trouble. We are still in the middle of a pandemic crisis, which means that politicians still have a lot of work to do. ”
The global economy would return to pre-coronary crisis levels by the end of next year, mainly due to China’s strong economic recovery. According to the OECD, the growth of the Chinese economy next year will accelerate to 8 per cent from 1.8 per cent this year, and the United States, after a 3.7 per cent drop in GDP this year, to an increase of 3.2 per cent next year.
The European stabilization mechanism will also rescue banks
After long negotiations, the eurozone countries have decided to reform the European Stability Mechanism (ESM). The fund originally assisted countries in financial difficulties, but from 2022 it will also serve as insurance for extreme bank rescue cases. If the agreement passes the parliaments of the euro area countries, the agreement will apply.
The reform aims to strengthen the rescue fund and reduce risks for investors. The ESM will be able to negotiate with investors if it is necessary to restructure the debt of an endangered country and to help banks in exceptional situations.
Eurogroup chief Paschal Donohoe said in a video conference: “The ESM has played a major role in the past crisis and this reform will further develop its potential. It will also strengthen its role in planning, negotiating, and monitoring financial assistance programs.”
Facebook establishes the supervisory board
The independent supervisory board, which was founded by Facebook, has so far found 6 cases in which it could reverse the decisions of the social media company to remove certain parts of the content from its platforms. The Council was set up in response to criticisms of the contentious issue. The success is enormous, as the company has received 20,000 cases to investigate since its launch in October.
The Management Board opened a one-week public comment period on these cases. To decide on the cases, Facebook has set a 90-day deadline.
Performance of Facebook’s shares (Source of the graph: Tradingview)
Bitcoin subdued its historical value
After a massive sell-off last week, Bitcoin hit its all-time high this week, stopping just under $ 20,000. Stock exchanges are recording growth caused mainly by institutional investors, and only now is the number of speculators increasing.
On the other hand, the dollar index, which tracks the dollar against a basket of developed currencies, continued to fall to a 30-month low of 91.782, moving much lower towards both riskier and safe-havens.
Performance of the Bitcoin (Source of the graph: Tradingview)
Watch this week:
Thursday, November 03, 2020
The United Kingdom will publish developments in the composite PMI index in November. Analysts expect unchanged 47.4 points.
The eurozone will publish the development of retail sales in October. Analysts expect 0.8% growth on a month-on-month basis.
Friday, November 04, 2020
The United States will publish the nonfarm payrolls in November. Analysts expect 495 thousand.
Source of the text: Investing, Zerohedge, Financial Times, Reuters, Tradingview
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