Optimism about the ability of major western nations to bounce back quickly from the coronavirus pandemic was in short supply this week as concerns about a second wave of Covid-19 grew.
The UK and Europe
In the UK, the FTSE 100 ended Thursday 1.9% ahead for the week so far. Shares in London have benefited from the British government’s announcement that it has approved the Pfizer vaccine for immediate use, making it the first country to do so. The first batch of vaccines arrived in the UK on Wednesday and the health service plans to start administering shots as early as next week.
There have also been encouraging signs that negotiators could be close to finalising a trade deal between Britain and the European Union.
In Frankfurt, the DAX index ended Thursday’s session down 0.6% for the week, while France’s CAC 40 lost 0.4%. In Germany, chancellor Angela Merkel said that many of the current coronavirus restrictions will now last until early January at least.
Note: all market data contained within the article is sourced from Bloomberg unless stated otherwise, data as at 22/10/2020.