The European Stoxx 600 lost 0.1% in early trading. of Germany DAX (DAX) gained 0.2%, while that of France CAC 40 (CAC40) sliding 0.3% and the FTSE 100 (UKX) 0.2% drop in London.
Japan Nikkei 225 (N225) decreased by 2.3%. South Korea Kospi (KOSPI)dropped 1.9%. Hong Kong Hang Seng Index (HSI) lost 1%, while the Chinese one Shanghai composite (SHCOMP) lost 0.6% after trading for the first time since an extended vacation.
US securities futures, meanwhile, were turned off following Friday̵
7;s sharp drops. Dow (HINDU)
futures increased by 45 points, equal to almost 0.2%. Futures for the S&P 500 (SPX)
have increased by 0.1%, while Nasdaq (COMP)
futures fell 0.1%.
“The rebound in the infection rate, especially in the United States, shows that the road to full recovery will be long and that it will require medical solutions, such as a vaccine,” Tai Hui, chief strategist of the Asian market for JP Morgan Asset. Management wrote in a Monday note.
The situation in the United States could also raise concerns in Europe, where governments are considering opening borders during the summer season, he added.
“We expect market sentiment to become cautious in the short term, with investors covering the risks from the pandemic and the ongoing tensions between the United States and China,” said Hui.
Facebook down again
Facebook (FB) shares may remain under pressure when the company’s boycott gains momentum. Some of the biggest advertisers in the world, including Unilever (UL) is Coke (COKE), they withdrew the ads from the platform citing his inability to deal with the hate speech. Facebook’s shares fell more than 8% on Friday and fell another 2.4% in premier trade on Monday.
In oil trading, US crude oil futures fell 1.7% to $ 37.85 a barrel. Brent, the global oil benchmark, lost 2% at $ 40.21 a barrel.