Focus: The dollar, emerging markets, commodity prices and debt

Focus: The dollar, emerging markets, commodity prices and debt

Focus: The dollar, emerging markets, commodity prices and debt

Focus: The dollar, emerging markets, commodity prices and debt

The dollar continued its decline during the week reaching the lowest level since April 2018, reflecting the risk-on sentiment based on the hopes of a vaccine in 2021. (Shutterstock)

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Focus: The dollar, emerging markets, commodity prices and debt

Updated 04 December 2020

The week that was: 

The two big stories of the week were vaccines and an OPEC+ compromise on tapering production cuts.

The UK approved the Pfizer/BioNTech vaccine and will receive the first shipment by mid-December. Healthcare workers, care home residents and the elderly will be vaccinated first. Stock markets across the globe rallied on the news, with the S&P 500 reaching new highs. 

The optimism may be overdone in the long run, because COVID-19 cases west of Suez are still high (at all time highs in the US). Germany extended its mini lockdown through Jan. 10. Pfizer also had to lower the production of vaccines from 100 million doses to 50 million in 2020 on account of issues with ramping up the raw materials' supply chain. The company will produce a billion doses in 2021. The latest development dampened the mood in the equity market.

OPEC+ held tense