Geoffrey Smith 

Investing.com — Joe Biden, President of the United States will discuss the current situation regarding Covid-19 as the number of new infections has reached a record. European power prices and gas prices rise another 10% while Russia maintains its low gas supplies. Micron’s (NASDAQ:) positive earnings and, in a smaller way, the positive results of Investing.com, are expected to boost stock prices. Nike (NYSE:). (NYSE:). These are the markets that moved Tuesday 21st December. 

1. U.S.Covid-19 numbers jump when Omicron takes over

Omicron, the most prevalent strain of Covid-19 in America, is spreading quickly according to Centers for Disease Control. According to the CDC, it was responsible for 70% of all new Covid-19 cases from Monday through Saturday, compared with 11% in the previous week.

The New York Times reports that overall infections rates almost doubled since then, with Monday’s record high at 298,000. There is not a similar rise in hospital admissions. However, rapid spread has already had an impact on the hospitality and retail sectors. It is also causing an increase in absenteeism from self-isolation.

To stem the tide, Biden’s administration announced that it would distribute 500,000,000 free kits for home testing to aid in its fight against corruption.

2. European power prices set new records, as Russian gas runs out

Europe’s energy crisis took a fresh turn for the worse as Russian gas supplies through a key pipeline dried up completely.

Wholesale prices for spot power in Germany hit 425 euros ($480) a megawatt-hour, while benchmark prices in the Netherlands touched the equivalent of $50 per million Btu – around 12 times the corresponding price in the U.S. Low renewables output is also forcing utilities to burn more gas to generate power, draining storage that is already far below the usual levels for this time of year.

With 175,000 Russian troops stationed at the Ukrainian border and an estimated EU presence of 175,000, it is difficult to see the underlying events.

3. After Micron and Nike earnings cheer, stocks will open higher

As Micron reported strong earnings, stocks are expected to recover from their sharp decline at the beginning the week. This has encouraged a more positive reassessment.

At 6:30 am ET (1130 GMT), the Dow Jones Industrial Average was up 335 points or 1.0% while they were up by an identical amount and up by 1.1%

Micron posted record earnings due to the continued high demand for data centers and from the automotive sector. The report of Micron was much more positive than the one of Nike. Nike warned that sales growth would slow and that margins could be affected by the current quarter. This is against the backdrop that its Vietnamese suppliers are still working at only 80% capacity.

General Mills (NYSE): Earnings reported before the open.

4. Dems put BBB on hold for next year

According to Chuck Schumer (Senate Majority Leader), there won’t be any vote on Build Back Better until the new year.

Schumer stated in a letter addressed to Democratic lawmakers, that there was no way to bridge the gap between West Virginia Senator Joe Manchin’s demands and the needs of the entire caucus before the end.

Manchin had objected in particular to the expansion of child tax credits foreseen in the bill, according to various reports, and has argued that the funding for the proposed programs wasn’t solid enough to avoid big increases in the budget deficit in future.

5. As risk appetite returns, oil prices rebound; API data eyed

The sight of European power stations starting to burn fuel oil for the first times in many years supported the rebound in crude oil prices.

Futures rose 1.8% to $69.81 per barrel by 6:40 am ET (1140 GMT) while they were 1.5% higher at $72.60 per barrel.

As usual, the American Petroleum Institute will release its weekly inventory data at 4:30 pm ET. Analysts expect the government’s data, due on Wednesday, to show a drop of 2.6 million barrels in crude stockpiles from the previous week.