The day at a glance | November 19 2020

The Top

·     Jobless claims in the US increase more than estimated. 

·     Hungary and Poland block Europe`s fiscal package final approval in the region`s Leaders` Summit.

·     United Kingdom close to reaching a trade agreement with Canada; there is optimism regarding an agreement with the EU.

Economic environment

After four consecutive weeks of declining figures, jobless claims in the US increased. Jobless claims for the week ending on November 14th set at 742 thousand, above estimates that forecasted an improvement in the labor market (707 thousand e.). This is the first rise in jobless claims in the last 5 weeks. This data increases the concerns revolving around the effects of the virus`s second wave on the labor market as its fast spread forces the closure of businesses after adopting stricter mitigation measures at a State level. The data could put more pressure on legislators to approve a new fiscal package once larger part of aid programs come to an end at the end of the year. However, differences between Republicans and Democrats remain unchanged. Nancy Pelosi has called on Republicans to resume negotiations; the White House will stop taking the role of a mediator.

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