Agonizing summit, stimulus and magic pills
The EU summit, which instead of one day on Friday dragged on for the entire weekend and smoothly turned on Monday, become of the most difficult and longest in the history of the EU. It should be reminded that the fate of the 750-billion-euro aid fund was decided there. The price is more than serious, so it is not surprising that there was no unity in the ranks of Europe. The stumbling block was not so much the size of the fund as its distribution and control mechanisms.
At the end of Monday, it seems that a compromise has been reached. At the same time, the size of the fund has not changed - 750 billion euros, but the structure of its distribution has undergone significant changes. The total amount of gratuitous aid (will be distributed in the form of grants) has been reduced from 500 to 390 billion euros, and the size of loans is 360 billion instead of 250. Although these news for the euro are generally positive, it seems to have exhausted its entire upward potential.
In general, the issue of stimulus to the economy this week came to the fore not only in the EU, but also in the United States. By and large, the United States has only a week to agree on a new stimulus package. Otherwise, next week the US economy will face a situation of survival in a crisis without government assistance.
All this is happening against the backdrop of a worsening pandemic situation in the United States. The mayor of Los Angeles said he is ready to return a full-fledged lockdown in the city.
Meanwhile, the vaccine race continues. The UK has already agreed to purchase 90 million doses from Pfizer and Valneva, and seek effective treatments. Pfizer has released additional information on its tests (positive). In terms of treatment and medicine, AstraZeneca excelled by announcing the results of clinical trials of their experimental drug developed in collaboration with Oxford University. Preliminary results showed that the drug kills not only the virus, but also the cells affected by the virus. In general, a magic pill in its purest form.
And small British company Synairgen more than tripled its capitalization after announcing the results of its Covid treatment option.
Amid the news, the US tech sector saw another impressive rally led by Amazon and Tesla .
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