Need the lowdown on what’s shifting European markets in your inbox each morning? Join right here.Good morning. Coronavirus instances are spreading at a document tempo within the U.S., stock markets hold clawing out features and UK. corporations are making ready for all times with no European Union commerce deal. Right here’s what’s shifting markets.Virus RecordThere’s no signal of the coronavirus pandemic receding globally. A document 37,000 new instances have been recorded within the U.S. on Thursday, topping the height seen in April, after many People let down their guard on social distancing. Some U.S. governors are reversing plans to reopen their states, in a rising recognition that the contagion is more and more dictating occasions in a lot of America. President Donald Trump is not saying something. The UK. well being secretary is warning he might shut seashores to move off a possible new spherical of infections. The Asia-Pacific area’s financial toll from Covid-19 can be close to $three trillion, S&P International Scores mentioned.Buoyant StocksSo with the grim information out of the U.S., stocks are in freefall, proper? Fallacious. The U.S. market staged a late-day rally on Thursday, and that is given a lift to Asian equities and to index futures in Europe this morning. True, the Stoxx Europe 600 Index is headed for its second weekly loss up to now three, however at this level it is down just one.6% on the week. Traders appear to be relying on coverage makers to cushion any blow from the pandemic. The Fed “is going to support this market one way or the other,” Sandy Villere, portfolio supervisor at Villere & Co., mentioned on Bloomberg TV. Brexit WorriesMeanwhile, the hassle by the UK. and the European Union to achieve a post-Brexit commerce deal has been stumbling on. Talks are set to decide up steam, with further negotiating periods scheduled for July and August, however UK. companies are making ready for the worst: They’re stockpiling items in case the UK. leaves the customs union on Jan. 1 with no deal. The 2 sides hope to have a deal hammered out by October, on the newest, as a result of the bloc wants time to obtain crucial approvals from member nations. The UK. nonetheless hasn’t set out how vans shifting between Britain and the European Union can be dealt with after Brexit — a significant hole in its planning that’s inflicting concern amongst freight companies.Wirecard ImpactThe fallout from the collapse of Wirecard AG is spreading. Visa Inc. and Mastercard Inc. are contemplating revoking the German funds firm’s capacity to course of funds on their networks, which might trigger additional ache for the agency that’s been battered by an accounting scandal. The affair has shaken Germany’s political lessons and prompted requires an inquiry and doable management modifications at monetary regulator BaFin. In the meantime, quick sellers are feeling vindicated, and so they’ve acquired a string of wins to look again on in Europe.Coming Up…Traders will get readings on French client confidence, Spanish retail gross sales and Italian client and manufacturing confidence as these economies rebound from lockdowns. Within the U.S., reviews are due on private earnings and spending in May in addition to a remaining studying from the College of Michigan on client sentiment in June. The earnings calendar is mild, with UK. grocer Tesco Plc offering a quarterly replace and Swedish fast-fashion chain Hennes & Mauritz AB reporting quarterly earnings. What We’ve Been ReadingThis is what’s caught our eye over the previous 24 hours. And eventually, here is what Cormac Mullen is on this morningU.S. stocks are quickly dropping this yr’s premium attract. Primarily based on ahead earnings estimates of equal-weight gauges of the S&P 500 and MSCI World Indexes, the valuation premium for an “average” U.S. share has come proper again right down to its pre-crisis vary. The measure had pushed via the vary in April to achieve a peak in early June as U.S. shares drove the rebound in threat belongings and traders clamored for American publicity. That development has reversed this month because the coronavirus continues to unfold internationally’s largest economic system — U.S. shares have begun to underperform their worldwide counterparts. And whereas paying up for U.S. publicity paid off within the latest rally — the S&P 500 is up about 38% since its late-March lows — not having American stocks wasn’t precisely a efficiency killer. Cheaper benchmarks from Germany to South Korea to Brazil to South Africa have all bested that return over the identical interval.Cormac Mullen is a cross-asset reporter and editor for Bloomberg Information in Tokyo.Like Bloomberg’s 5 Issues? Subscribe for limitless entry to trusted, data-based journalism in 120 nations all over the world and acquire professional evaluation from unique each day newsletters, The Bloomberg Open and The Bloomberg Shut.