- ECONOMIC IMPACT -
Last Updated January 2022
United States: The United States reported approximately 70.69 million confirmed cumulative COVID-19 cases as of January 24, 2022. According to the Centers for Disease Control and Prevention, 63.4% of the total population is fully vaccinated as of January 23, 2022. Amongst these, 39.9% of the fully vaccinated population has received booster doses. The total COVID-19 death cases for the week ending 21st January 2021 have reached 13,824 leading to an increase of almost 10% as compared with the previous week. The business confidence in the country remains low, as indicated by a decrease in the business confidence index (BCI): to 101.37 in December 2021 from 101.60 during November 2021. The real estate sector in the country is witnessing expansion. The initiation of construction of new privately-owned housing units showcased a 1.4% month-on-month (m-o-m) increase in December 2021.
India: The country is second on the list of total COVID-19 cases reported globally and has recorded 39.23 million cumulative cases as of January 24, 2022. Around 48.28% of the entire population is fully vaccinated in the nation as of date. Amid rising geopolitical tensions and fear of interest rate hikes, the capital markets in India have been witnessing higher volatility in recent times. Indian markets are showcasing a considerable withdrawal of funds by foreign portfolio investors (FPIs). Primary estimates indicate that the unemployment in India would decline to around 6.9% in January 2022 from an estimated 7.91% of December 2021. According to the Reserve Bank of India, India’s foreign exchange reserves stood at $634.96bn for the week ending January 14, 2021, after witnessing an increase of $2.22bn during the immediate week before. During the current weekly revision exercise, the 2021 real GDP growth of India has been kept unchanged at 9.01%, as in the previous weekly forecast. The real GDP growth for 2022 is forecasted at 7.85%.
Brazil: The country has registered a total of 24.05 million COVID-19 cases with an associated fatality rate of 2.59% as of January 24, 2022. About 68.12% of Brazil’s entire population is fully vaccinated as of date. The business confidence index in the country declined to 100.48 in December 2021 from 100.88 during November 2021. The consumer confidence in the nation also remains low, as indicated by a decline in consumer confidence index (CCI): to 98.04 in December 2021 from 98.11 in November 2021. During this week’s revision, the 2021 real GDP growth of Brazil has been kept unchanged at 4.74%, as in the previous weekly forecast. The real GDP growth for 2022 is forecasted at 1.08%.
United Kingdom: The total cumulative cases of COVID-19 in the country stood at 15.96 million, as of January 24, 2022. About 83.7% of the population aged 12 and above is fully vaccinated as of January 24, 2022. Among these, 64.1% of the fully vaccinated population has also received booster doses. The total COVID-19 cases for the week ending 23rd January 2022 have declined by almost 15% as compared to the previous week. The consumer confidence in the nation remains low, as indicated by a decline in consumer confidence index: to 100.05 in December 2021 from 100.20 in November 2021. The country’s labour market shows a recovery as the employment rate increased by 0.2 percentage points from the previous quarter: to 75.5% during September-November 2021. However, high inflation remains a major concern in the nation.
IMF has revised its 2020 global GDP forecast to -4.4% from an estimate of -4.9% made in June.
The global economy is estimated to contract by 4.2% in 2020 and bounce back by 5.3% in 2021.
Impact of Covid-19 on equity indices
- SECTOR IMPACT: Finance -
Last Updated November 2021
Clinical trial market impact
Trial disruption is leveling off and disrupted trials saw a small dip, with 1,032 trials still disrupted and 579 pharma/biotech companies and contract research organisations associated with disrupted clinical trials.
There are currently 3,414 clinical trials underway for Covid-19, including 172 multinational trialsroboto slab and 2,818 single-country trials.
Goldman Sachs makes Covid vaccination mandatory to enter US offices
Goldman Sachs Group has reportedly informed its clients and employees coming to the US offices to be fully vaccinated against Covid-19, beginning this week.
The newly issued guidelines also makes its mandatory to wear in offices regardless of vaccination status, Reuters reported citing an internal memo sent by the bank.
According to the memo, the fully vaccinated employees returning to the office will get weekly Covid-19 tests starting next month.
A spokesperson for Goldman Sachs confirmed Reuters about the contents of the memo.
Goldman was amongst one of the first banks in the US to mandate most of its employees to return to office.
The latest move is seen as part of Goldman’s effort to ensure safe return to office as new variants of Covid-19 emerge at some parts of the world.
Meanwhile, Morgan Stanley and Citigroup also require vaccines for workforce at their US headquarters.
However, JPMorgan Chase, Bank of America and Wells Fargo doesn’t require vaccines for employees at offices.
Bank of America has instructed only vaccinated employees to work from its offices when it resumes office in September.
Other developments at Goldman Sachs
Recently , Goldman Sachs Group agreed to buy the money-management operation of Dutch insurer NN Group for about $1.9bn.
Last month, reports emerged that the asset management arm of Goldman is looking to offer an exchange-traded fund (ETF) focused on securities of cryptocurrency-related companies.
Few weeks back it was also reported that the bank is planning to hire 2,000 more employees in India by 2023 as it looks to bolster its operations globally.