1. US stock market under pressure
2. China, Japan and South Korea agreed to coordinate actions to combat the consequences of the COVID-19
3. Global demand for oil is 1.5-2 million barrels. exceeds the supply level
American indexes ended trading Thursday lower. The leader of the fall was again the shares of large technology companies. The mood for investors was ruined by weak statistics from the United States. The uncertainty caused by the COVID-19 pandemic continues to affect recruitment. The number of applications for unemployment benefits remains very high. Investors also reacted negatively to comments by Fed head Jerome Powell about the "extremely uncertain" prospects for the economy.
Finance ministers and central bankers of China, Japan and South Korea agreed on Friday to strengthen measures aimed at restoring the region's economy from the COVID-19 pandemic. Countries agreed to coordinate more closely in this regard. The parties also agreed to expand the Chiang Mai Initiative (CMIM), a network of multilateral currency swap agreements that are considered critical to the region's financial security system.
Oil prices continue to rise, responding to statements by the most influential OPEC + members about compliance with the terms of the agreement to limit production. On the eve of the energy ministers of Saudi Arabia, Russia and the UAE announced strict compliance with the terms of the agreement. The UAE noted that in August the level of production was increased due to the growth of domestic demand. In October and November, production will be reduced. Countries that did not comply with the terms of the agreement in the summer will compensate for excess production in the following months. According to the head of the Russian Ministry of Energy, in August, thanks to the efforts of OPEC, commercial oil reserves decreased by 45 million barrels. and now the offer on the market is 1.5-2 million barrels. lower than demand.
News to pay attention today:
12:30 GMT. Canada: July Retail Sales Report