February 8-12, 2021. We expect a correction

2021-02-07

A strong correctional movement of the dollar is expected in the coming week, and the local growth of major currencies associated with it. This is due to the intense strengthening of the dollar in the previous week. These trends will intensify the redistribution of capital across the stock markets of developed and developing countries.

Investors are counting on a rise in securities prices due to the decline in the dynamics of the incidence of Covid-19 and an increase in the volume of vaccinations of the population. The industry and the service sector are gradually “reviving” as evidenced by the growth in consumption and cost of energy resources, as well as economic statistics of the labor market.

Special attention should be paid to the euro this week. Currency quotes may rise if the crisis of power in Italy is successfully resolved. The well-known economist Mario Draghi, who is forming a technical Cabinet of Ministers far from politics, has been thrown to save the country’s economy.