Good afternoon, it is October 13th 2020 and here is your economic and market update from BlackBee.
- 2021 Budget falls short of meeting social housing needs.
- Tech stocks lead the way as stocks climb.
Announced in the budget for 2021, a record level of funding will be provided to the Department of Housing. There will be an increase of €773 million compared to last year. Although this is the highest ever investment in social housing, there continues to be a growing need of available units, which has been exacerbated by the pandemic. The commitment of new builds falls short of meeting this demand – 12,750 units will be added to the stock with 9,500 making up new builds. According to Wayne Stanley, a spokesman for the Simon Community, the increase of homelessness funding is crucial and welcome however the “commitment to build 9,500 new social homes falls short of the 15,000 social housing units required each year to meet existing and urgent housing needs”.
Tech led the way as stocks advanced yesterday. The Nasdaq climbed 2.56% yesterday with the S&P500 and Dow Jones increasing 1.64% and 0.88% respectively. The Nasdaq is approaching highs reached in September prior to the sell off. With an agreement for a fiscal stimulus deal still yet to be reached and representatives of the House of Representatives informed that there would not be any action this week, investors moved back to the sector that has benefitted most in the past few months. The Stoxx Europe 600 moved 0.72% higher. WTI fell below $40 a barrel yesterday as it declined -2.88% to $39.43.
Best & Worst Performers of Large Cap US Stocks on Monday
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Global Market Update
(as at close of markets 12/10/2020)