by SignalFactory · November 26, 2021 | 11:29:38 UTC
U.S. stock futures dropped in early morning trading on Friday as investors geared up for a shortened trading day amid renewed Covid fears over a new variant found in South Africa.
Futures for the Dow Jones Industrial Average fell 800 points, while those for the S&P 500 and Nasdaq 100 were also in negative territory.
The downward moves came after WHO officials on Thursday warned of a new Covid-19 variant that’s been detected in South Africa. The United Kingdom temporarily suspended flights from six African countries due to the variant.
The discovery of the new COVID variant was announced on Friday by South Africa’s health minister Joe Phaahla. He said scientists were concerned because of its high number of mutations and the dramatic spike in infections the country had seen over the past four or five days.
Speaking at an online press conference, he said the variant, known as B.1.1.529 and expected to be called the Nu variant, had also been detected in Botswana and Hong Kong in travelers who had visited South Africa, he said. The World Health Organization’s technical working group is holding an emergency meeting to assess the variant, as scientists aren’t sure whether is more deadly or just more contagious.
“The one bull in the China shop that could truly derail the global recovery has always been a new strain of Covid-19 that swept the world and caused the reimposition of mass social retractions,” said Jeffrey Halley, senior market analyst, at OANDA, in a note. “All we know so far is the B.1.1.529 is heavily mutated but markets are taking no chances.”
After new cases appeared to stabilize at 200 a day, South Africa reported more than 1,200 on Wednesday and 2,465 on Thursday. Scientists and health officials are concerned that such a highly mutating variant could escape vaccines. The U.K. government is banning flights from the country along with five other African nations, effective Friday.
Investors are returning from the Thanksgiving Daybreak to a shortened session for U.S. markets, which is often accompanied by thinner volumes as traders often wait until Monday to return. There is no economic data on the calendar for Friday. But the week had been simmering with concerns about rising COVID cases in Europe and new restrictions.
Fear of a new variant was overshadowing the Black Friday shopping day, which puts the focus on retailers as consumers shop for bargains.
Dow Jones Short (Sell) Enter At: 35772.23 T.P__1: 35477.65 T.P_2: 35251.04 T.P_3: 34995.00 T.P_4: 34691.72 S.L: 36078.08
All information on this website is of a general nature. The information is not adapted to conditions that are specific to your person or entity. The information provided can not be considered as personal, professional or legal advice or investment advice to the user.
Signal Factory is not represented as a registered investment consultant or brokerage dealer nor offers to buy or sell any of the financial instruments mentioned in the service offered.
While Signal Factory believes that the content provided is accurate, there are no explicit or implied warranties of accuracy. The information provided is believed to be reliable; Signal Factory does not guarantee the accuracy or completeness of the information provided. Third parties refer to Signal Factory to provide technology and information if a third party fails, and then there is a risk that the information may be delayed or not delivered at all.
All information and comments contained on this website, including but not limited to, opinions, analyzes, news, prices, research, and general, do not constitute investment advice or an invitation to buy or sell any type of instrument. Signal Factory assumes no responsibility for any loss or damage that may result, directly or indirectly, from the use or dependence on such information.
All information contained on this web site is a personal opinion or belief of the author. None of these data is a recommendation or financial advice in any sense, also within the meaning of any commercial act or law. Writers, publishers and affiliates of Signal Factory are not responsible for your trading in any way.
The information and opinions contained in the site are provided for information only and for educational reasons, should never be considered as direct or indirect advice to open a trading account and / or invest money in Forex trading with any Forex company . Signal Factory assumes no responsibility for any decisions taken by the user to create a merchant account with any of the brokers listed on this website. Anyone who decides to set up a merchant account or use the services, free of charge or paid, to any of the Forex companies mentioned on this website, bears full responsibility for their actions.
Any institution that offers a service and is listed on this website, including forex brokers, financial companies and other institutions, is present only for informational purposes. All ratings, ratings, banners, reviews, or other information found for any of the above-mentioned institutions are provided in a strictly objective manner and according to the best possible reflection of the materials on the official website of the company.
Forex trading is potentially high risk and may not be suitable for all investors. The high level of leverage can work both for and against merchants. Before each Forex investment, you should carefully consider your goals, past experience and risk level. The opinions and data contained on this site should not be considered as suggestions or advice for the sale or purchase of currency or other instruments. Past results do not show or guarantee future results.
Neither Signal Factory nor its affiliates ensure the accuracy of the content provided on this Site. You explicitly agree that viewing, visiting or using this website is at your own risk.