Recession of stock markets in USA
Futures on U.S. stock indices on Wednesday show a downturn amid concerns about a new quarantine as coronavirus infection rates rise around the world and concerns about the outcome of presidential elections in the USA.
In anticipation of the opening of Wall Street trading, shares of quarantined companies Wynn Resorts and United Airlines Holdings lost more than 1%. Shares of energy companies such as Occidental Petroleum dropped by 2.8 per cent due to concerns about fuel demand.
New infections and hospitalisations are increasing at record rates in the Midwest USA, and in Europe concerns about full quarantine in France are undermining investor's risk appetite.
The COVID-19 pandemic, higher unemployment and the failure of American legislators to agree on new financial incentives before the election led to the S&P 500 index and high-tech Nasdaq closing on Tuesday with a three-week low.
The Wall Street worry index rose to its highest level in almost two months as investors fear a controversial election result.
According to the survey, Democratic Party candidate Joe Biden is on average 10 percentage points ahead of current President Donald Trump, but in states where the votes are equal, these states will determine the outcome of the election, which means that competition is tougher.
At 06:28 EST, E-mini Dow's futures dropped 1.64 per cent to 26,918 points, the S&P 500 dropped 1.35 per cent to 3337.25 points and the Nasdaq dropped 1.05 per cent to 11,465 points.
Microsoft's quarterly figures surpassed analyst's forecasts, helped by the shift to remote work and online training in response to the COVID-19 pandemic. However, its shares, which grew 35 percent this year, fell 2 percent.