D&D Note (6.24.2020) ~ Covid-19 Cases Surge Sending Stocks Down And Volatility Up ~
Today markets woke up to the reality that Covid-19 is not going away and is rather surging to record highs in America.
The 7-day average of cases has now gone back up to 30,000 a day which we had not seen since the height of the pandemic in April. We are now on pace to surpass the original peak level of cases showing we have not even emerged from the 1st wave.
Governors of New York, New Jersey, and Connecticut announced a 14-day quarantine for travelers entering the states from Coronavirus hotspots. There are now 30 states that are seeing cases grow by 5% or more.
Texas reports all-time high of 5,489 cases. California surpasses 7,000 new cases an all-time high. Florida hits all-time high of 5,511 new cases. Arizona records a record number of deaths in one day at 79.
India reports a record single-day spike in new cases with 15,968 and 465 deaths.
The European Union is considering banning travelers from virus hotspots including Brazil, Russia, and the United States.
The IMF cuts its economic estimates for global GDP and the US economy. They now see a contraction of 4.9% globally and an 8% contraction in the US economy.
Bank stocks were down today ahead of the FED stress test results due tomorrow.
The DOW hit the low of the day down 800 points when Florida announced a record number of new Coronavirus cases. Then paired losses through the afternoon session.
In the final 10 minutes of trading markets took a leg lower but closed off the lows. However, all signs point to further declines in coming days. Money has been moving out of stocks today and into fixed income particularly the 10YR Note.
DOW down -2.71%
S&P 500 down -2.58% (3050.33)
NASDAQ down -2.19%
VIX up 8.38% to 34.00
Oil down -5.99% to $37.95 a barrel.
Gold down -0.34% to $1775.90 an ounce.
Global Virus cases: 9.32 million+
Global Virus deaths: 479,215+
US Virus cases: 2.36 million+
US Virus deaths: 121,662+
~ Dave James / Principal Trader and Market Strategist
D&D Investments 
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