Amidst the ongoing vaccination drive in the USA and the UK, there comes a bad news about a new corona variant from the UK. Many countries have announced halting air traffic originating from the UK in the wake of a sudden spurt in corona cases and its new variant recently. The news has jolted the entire world once again. The EU was looking all set for starting vaccination after clearance of Pfizer corona vaccine today but the new development has forced them to stop ferry and air service connecting the UK immediately.
Indian govt has also decided that all flights originating from the UK to India shall be temporarily suspended till 31st December 2020. A large number of the Indian Companies derive their maximum revenue share from the UK . These companies may feel the pinch due to the latest developments in the UK. The prevailing events will certainly result in under-par performance during the remaining period of the current financial year for a few companies like TATA steels,Tata Motors, Motherson Sumi and a few others.
The increasing number of corona cases in the USA, a new variant in the UK, and talks going around about overvaluation of some companies made the Indian markets crash today? However, Sensex losing more than 1400 points and Nifty closing 400 points lower on Monday didn’t cause any jitters for the ongoing IPO of Antony waste Handling cell Ltd that was oversubscribed within a few hours of its opening on Monday. This IPO was not successful in its first attempt in March 2020 as investors showed little interest in the IPO due to prevailing pandemic conditions worldwide.
It looks like this year 2020 has more worries for us at the fag end of December. X-mass celebrations may see dampened spirits by keeping the already financially strained and exhausted families indoors. This year has already tested the endurance level of everyone around the globe. Any further escalation in the crisis will subject the already suffering people to another level of ferocity in the coming year.
Thankfully, the DOW and other international markets have not shown any nervousness following the Indian debacle and we should hope that the moods of investors will be kept upbeat with the impending Financial Stimulus efforts going on in the USA.
** The House of Representatives, USA has passed the $900 billion corona virus bill that will bring some respite to those who were waiting for the financial stimulus eagerly. It will certainly improve liquidity position and consumer spending may increase before closing of the year. We may see improved foot fall of customers in the coming few days bringing scome cheers for the small businesses also.
Stay safe and keep invested
MoneyXTension: Financial Freedom 