Good afternoon, it is December 3rd 2020 and here is your economic and market update from BlackBee.
- New car sales up 20% for November year on year
- 21% Covid-19 Adjusted unemployment rate for November
There were 914 new cars sold in Ireland for November 2020, 20% more than the same month last year. Total car sales for 2020 year to date are 25% lower than this time last year. However, there have been monthly increases in car purchases in September when compared to 2019. Q4 is on course to have the most new car sales since 2015. These new car purchases are resulting from the monies saved by Irish people this year. According to Eurostat, Ireland’s savings rate increased by 20% from Q2 2019 to Q2 2020. This was the highest increase in savings rate in Europe for the period. The 25% yearly drop in car sales was caused by the lockdown in the March to June period when car show rooms were closed, leading to innovation from car retailers to enable trading with Brian Cooke, SIMI Director General commenting “The use of digital platforms during the lockdown has provided an important shop window for customers looking to buy a new or used car” (Source: SIMI, Eurostat)
While new car sales were up for November, monthly unemployment was also higher than in the same period in 2019. The Covid-19 adjusted unemployment rate for November was 21%. Youth employment levels have been the most hit by the pandemic. Unemployment among 15-24 years olds was 47% while for the 25-74 age range unemployment was 17.4%. With younger people traditionally employed in the hospitality and retail sectors, it appears that they are the first to be temporarily out of work when lockdowns are imposed. The 21% Covid adjusted unemployment rate includes people on temporary payment and wage assistance schemes. There were c.350,00 people on a Covid-19 unemployment assistance scheme, up from c. 90,000 people in October.
Best & Worst Performers of Large Cap US Stocks on Wednesday
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Global Market Update
(as at close of markets 02/12/2020)