Equities were rising again in the US overnight on the hopes that a stimulus deal would be struck between the GOP and Democrats, but as optimism turned to reality, prices fell, the US dollar regained some of its strength and bond yields weakened.

NAB had forecast that the Aussie dollar would reach 74 US cents by the end of the year. It did earlier this month but, as global risk sentiment rises, it is rapidly losing ground.

In the US Jerome Powell spelt out very clearly in his testimony before Congress that more fiscal stimulus was needed and had been assumed by many board members in their policy predictions.

Concerns over the impact of a second wave in the US and Europe seem to be gathering momentum, driving investors to government bonds and safe-haven currencies.

What more can central banks do to help stabilise the global economy?

It’s been a topsy turvy session overnight.

US interest rates will be lower for longer – that’s the takeout from today’s FOMC meeting.

Will Chinese manufacturers lose in the post-COVID world?

US equities are on the rise again driven by a flurry of M&A activity, alongside vaccine hopes and reasonable activity numbers from China.