Still USD1,000bn apart

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The end-of-the-month rebound in global equities is fading as investors assess a scaled-back fiscal proposal in the US against the rising toll of the pandemic. US equity futures are pointing to losses just after the open after Monday’s rally, while banks are again leading broad-based declines in European bourses. For sure, if the two US parties can agree on more stimulus, it may be the trigger for shifting the recent risk headwind into a tailwind. But the chances of an agreement with the current Administration still look slim. Is this a political gambit ahead of the election?

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