Back to the U.S. runoff election. Georgia Senate and the effect on the U.S. Yields on treasury bonds and U.S. tech giants.
The senior pastor of Ebenezer Baptist Church in Atlanta, where Martin Luther King once preached, Raphael Warnock, won one of the two U.S. runoff elections. Georgia Senate, putting the Democrats within striking distance of taking over upper house power.
Abhinav Ramnarayan Ramnarayan
U.S. 10-year returns hit 1 percent as Democrats move closer to gaining control of the U.S. for the first time in the pandemic period. Senate. I think this is because of bets that a powerful stimulus would be accepted by Democrats to jumpstart the world’s largest economy.
A big changer of a game. Images.twitter.com/q5Lyiu1umPP
6th January, 2021
Russ Mould, stockbroker AJ Bell’s investment officer, says the possibility of Democrats taking control of the U.S. Senate Senate
Pressure on U.S. tech stocks and an increase in the 10-year Treasury yield above 1 percent on expectations of higher stimulus spending and rising inflation for the first time since March is reflected.
With the rise of Joe Biden to the White House and a divided Congress, investors seemed very relaxed – accepting an end to some of the unpredictability of the Trump period, but also noticing that Biden would be prevented from introducing more extreme elements of his agenda by a Republican-controlled senate.
Companies like Amazon, Apple, Facebook and Alphabet, the owner of Google, are vulnerable to plans by Democrats to amend U.S. antitrust laws to curb the influence of tech companies and smash their monopolies, as well as potential rises in corporate taxes.
In other news, the same week that the publisher bought the catalogs of former Fleetwood Mac guitarist Lindsay Buckingham and super-producer Jimmy Iovine, Neil Young sold half the rights to his song catalog to Hipgnosis.
Merck Mercuriadis, who previously directed artists including Elton John, Guns N ‘Roses and Beyoncé, created the Hipgnosis Songs Fund in 2018.
In December, he revealed that its market cap had crossed £ 1,25 billion following the company’s 2018 IPO on the London Stock Exchange.
Tim Moore, Markit’s economics chief, states that since 2015, business optimism has hit its highest level:
Service providers must prepare for a continuous period of subdued economic conditions in the UK in the face of a third national freeze. And postponed spending by consumers in the first quarter of this year. Nevertheless, the 12-month view of business optimism in December was moderately positive, hitting its highest level in almost six years, backed by expectations that a good rollout of vaccinations would lead to a solid economic recovery in the second half of 2021.
For more info on the U.K. click here Survey for services.
Markit from CIPS/IHS said:
Because of the Covid 19 pandemic, companies that announced a decrease in market operation in December almost exclusively cited shrinking consumer demand and trade restrictions. It was mostly limited to residential real estate, business-to-business services (particularly e-commerce) and digital consumer service providers when growth was reported.
The latest survey showed a further decrease in job backlogs across the service economy, indicating that the ability of companies is not under pressure from falling demand from customers. In December, however, staffing levels reached stabilization, with the rate of job cuts becoming the slowest since the downturn started in March 2020.
In certain cases, service providers noted that, because of the expanded government exemption program, further layoffs were prevented.
The final readings have arrived for the UK PMI surveys. They are significantly lower than the figures for the flash, but paint the same image generally. The polls widely watched show that the U.K. By the end of the year, the economy had returned to growth – ahead of the recent closures in England and Scotland, reported on Monday.
At 49.9, UK CIPS/IHS Markit Final Services PMI (Flash: 49.9).
At 50.44 UK CIPS/IHS Markit Final Composite PMI (Flash: 50.7).
Greggs, the largest bakery chain in the UK, is the largest winner in the FTSE 250 index, up 8.7 percent, while the business reported its first annual loss due to the Covid 19 pandemic, which resulted in temporary store closures