ZFX: Hopes of vaccine brings the risk-on sentiment back
On Tuesday Asian session, stocks in Asia Pacific mostly rose, following the momentum of the Wall Street’s gains overnight. The positive news from the vaccines development was the main driver, making the markets turned to bullish side.
On the other hand, the risk-on sentiment is expected to maintain in the European session, after the news that the EU leaders reached the deal of the 750 billion euro recovery fund, helping the EU region to recover from the coronavirus pandemic crisis.
ZFX analyst Jacob Leung said that, the downward pressure of the dollar implies that the markets remain a bit bullish. Positive results from coronavirus vaccine trials again is supportive to the whole market.
Also, investors are looking forward to the new $1 trillion relief bill from the US congress. The market expects that this new fiscal package will soon be passed, which boosted the investment sentiment.
However, growing China-US tension and the second wave of the coronavirus outbreak in the US would still be the attentions, limiting the optimism over the above news.
ZFX analyst Jacob Leung said that, so far there is no clear themes, causing the markets may go ups and downs easily. Even the sentiment seems to be bullish in this moment, overall the trends are not out of the ranging pattern, especially in the sensitive markets.
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