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Week Ahead (1/2)

UK
  • Despite final PMI data being released this week and a slew of second tier data, the gilt market is more likely to be driven by external events (such as the US employment report on Friday) and any decisive comments on whether the June 21 end of Covid-19 restrictions is carried out in full or not.
  • The front pages of UK newspapers this morning see a number of reports covering the comments from Professor Ravi Gupta that the UK could be experiencing the beginning of a third wave of Covid-19. Professor Gupta is a member of Nervtag and said that the government should consider delaying the last step on the English Covid-19 roadmap by "a few weeks." This would enable more people to receive a second vaccine dose, something seen as particularly important as data suggests that two doses are needed for both the AZ/Oxford and Pfizer vaccines to be effective against the Delta (India) variant.
  • News over the past few days has suggested that the government is targeting giving a second vaccine dose to all over 50-year-olds by the June 21 date. But the data conducted on the efficacy of the vaccine for the Delta variant has been conducted on people who had received the second dose of the vaccine three weeks prior. With just under three weeks to go until June 21, just under 50% of the adult population has received a second dose.

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