Monday 25th January 2021
Markets turned sharply to a risk-off mood at the end of last week, on the realisation that vaccine roll outs will take longer than hoped whilst infections are growing. NAB’s Ray Attrill says there were too many bad news stories on Friday to offset the optimism of those looking forward to the sunny uplands of a post-COVID world. There was also mixed news with PMI reads at the end of the week; Europe fared relatively well, the US saw improvements, but the UK was nothing short of a disaster. That’s on top of the news from the UK PM that the new strain is not only more infectious it’s more deadly, with fears that the other new strain (from South Africa) might also be more resistant to vaccines. As we said, many bad news stories.