Stock markets around the world are depressed due to concerns that an increase in Covid’s case may hinder economic recovery.
In Asia, Japan’s benchmark Nikkei 225 Index fell by more than 1% to its lowest level in six months.
In New York, the Dow Jones Industrial Average fell by more than 2%, but the UK and mainland European indices also fell.
New cases are increasing in some countries, Fuel Delta Variant..
Japan’s stock prices have fallen five times in a row due to the epidemic of the highly contagious Delta variant and concerns that the Tokyo Olympics could exacerbate the health crisis.
Meanwhile, UK companies may need to reduce business hours, store closures, or reduce production as employees are forced to quarantine after being warned by the NHS Covid-19 app. Explain that there is.
Lasmold, AJ Bell’s investment director, said:
“Especially the optimism that was on the horizon just a few weeks ago. Carry out a 10-day quarantine on arrivals from France“. Susanna Streeter, senior investment and market analyst at Hargreaves Landsdown, said.
“Some scientists warn that the infection could reach 200,000 people a day by September, so I feel the UK may be looking at a new fall block,” she said. Added.
“Returns to previous status despite rising vaccination rates[Covid] Ulrich Leuchtmann, Head of Forex and Commodity Research at Commerzbank, said:
At a media briefing, US President Joe Biden urged Americans to be vaccinated to ensure that the economy remained open.
Covid infections associated with delta variants are on the rise, but concerns have skyrocketed among US investors after Los Angeles again imposed an indoor mask obligation over the weekend.
The Dow Jones Industrial Average fell 2.1% on Monday in the worst session of 2021. The Nasdaq Composite, which hosts many tech companies, fell 1.1% to 14,274.98.
President Biden commented on Monday’s market performance, saying “it’s not the way I judge economic growth.”
His comment came after data released last week showed that US prices surged again in June due to increased used cars and food.
He understood that while rising inflation was expected to be temporary, long-term uncontrolled inflation poses a “real challenge” to the economy.