US political and economic uncertainty dragging asian stock markets down
Asian stocks collapsed this morning following the wave of sales on Wall Street due to the uncertainty looming around the US presidential elections and the fear that there is no clear winner. This is coupled with distrust in new measures that could reactivate the economy and the fear of new confinements in Europe due to the increase in Covid-19 infections.
Investors, both American and Asian, are beginning to fear that the United States Congress will not adopt the necessary measures to curb the economic crisis caused by the coronavirus pandemic and will remain paralyzed while waiting for the elections on November 3.
The Nikkei closed 1.11% lower to 23,087 points, the Hang Seng fell 1.73% to 23,332 points, and Shanghai plummeted 1.72%. Wall Street futures announce further declines as the VIX rebounds and is already moving around 30.
Source: Admiral Markets MetaTrader 5. VIX CFD Daily Chart. Data range: from February 20, 2020, to September 24, 2020. Prepared on September 24, 2020, at 10:40 a.m. Keep in mind that past returns do not guarantee future returns.
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