Hong Kong: The stock market rose on Monday. Following the influx of bargain-hunting buyers following the recent sell-off, Wall Street has seen a healthy rally, although it has been limited by concerns about a new virus surge and destructive economic containment measures.
Traders are also waiting for the first presidential debate in the United States this week, which may be crucial to deciding the November election. Many traders worry that close voting may mean that results are delayed or even challenged by losers.
Technology companies have achieved strong growth in New York because the new increase in infections has forced governments (especially in Europe) to place new standby orders at home, leading investors to bet that people will use their computers more.
As the death toll from the disease exceeds one million, the World Health Organization warns that this number may double if more global collective action is not taken.
However, even though many leaders have announced new fiscal measures to support their economy, U.S. congressmen are still vying to adopt a second rescue plan, and the proposals of Democrats and Republicans are far apart.
“The doomy mood music’s soundboard remains tuned to growing concerns about rising Covid-19 case counts and whether policymakers have ammunition to react,” said AxiCorp’s Stephen Innes.
“In the US, this has centred on whether further fiscal stimulus might be forthcoming before the election.”
Still, Asian markets were in positive territory.
Tokyo rose 0.7% at the end of the morning session, while Seoul and Taipei both rose more than 1%. Shanghai, Sydney, Singapore and Manila are also in an active position.
The Hong Kong stock market also rose, even though China’s largest chip manufacturer Semiconductor Manufacturing International (SMIC) plunged more than 7% after reporting on the weekend that the United States had imposed export controls on it, marking the technological dominance among the superpowers. The latest action in competition.
It is reported that the profits of China’s largest industrial enterprises have increased for the fourth consecutive month, which indicates that the world’s second-largest economy is back on track after its leaders have controlled the virus.