S&P futures and global stocks hit election day

U.S. Stock futures and international markets traded higher in the last few hours before the start of Election Day celebrations.

By noon on Tuesday in Hong Kong, E-Mini S&P 500 futures were up 0.5%. In the previous session, the Dow Jones Industrial Average rose 1.6%, recovering from its worst week since March, while the S&P 500 and Nasdaq Composite also rose.

Stock indices in the Asia-Pacific region tracked the U.S. gains on Monday. Hong Kong’s Hang Seng Index and Australia’s S&P / ASX 200 rose 2% or more, while China’s Shanghai Composite and South Korea’s Kospi Composite rose more than 1%.

Paul Sandhu, head of Multiset Quant Solutions for Asia-Pacific at BNP Paribas Asset Management, said the optimism in the market was fueled by investors defeated by Democratic challenger Joe Biden, allowing U.S. legislators to allow more liberal stimulus. A package to stimulate economic activity.

Mr Sandhu said: “Biden sees victory as a surefire way to reduce Covid-1m and get a positive outcome on stimulus negotiations.” “If either party wins the Senate, the House and the presidency, it’s a sure win for a provocative deal, and that scenario is easier to do with the Democratic leadership because they already have the House.”