US stock futures were flat in overnight trading on Tuesday as investors clung to the prospect of new monetary stimulus before the end of the year.
Market participants are also paying attention to the Federal Reserve’s comments on the future of the US economy on Wednesday.
Dow futures were down 11 points. S&P 500 futures and Nasdaq 100 futures fell 0.06% and 0.05%, respectively.
On Tuesday, the major averages began several days of negative sessions, with all three indices closing with gains. The Dow Jones Industrial Average climbed about 340 points, which would be helped by a 5% jump in Apple Pal’s stock. The S&P 500 climbed 1.3%, breaking a 4-day losing streak.
The Nasdaq Composite ended the day at a new record high of 1.25%. The Russell 2000 Small Cap Index closed up 2.4% at a new record high.
Investors stimulated growth in Washington in view of the stimulus package to help Americans sick with the Covid-1p epidemic.
House Speaker Nancy Pelosi invited congressional leaders, including Senate Majority Match McConnell, to discuss government funding and the relief package. On Monday, a bipartisan group of legislators unveiled a proposal for a second round of economic relief on Monday evening.
The first plan calls for spending $ 748 billion on programs chosen by both Republicans and Democrats, including additional loans under the federal unemployment benefits and paycheck protection program. The second 160 billion bill would include financial assistance to more controversial areas of business liability defense and state and local governments.
“Stimulus is the main focus in the market, as it is a necessary bridge for expanded vaccination,” Lindsay Bell, chief investment strategist at Ally Investments, told customers. “Market participants want to see a deal sooner than expected near-term economic data. In the absence of a deal, turbulent conditions could begin.”
The deadline on the excitement looms between some of the darkest days of the epidemic. CNBC Using Johns Hopkins University data, the U.S. calculated a seven-day average. At least 215,400 new Covid-19 cases and at least 2,300 virus-related deaths have been reported.
The Pfizer Covid-19 vaccine rollout continued in the U.S. on Tuesday.
The Federal Reserve will release its statement on Wednesday afternoon with estimates of monetary policy trends. While the Fed’s long-term outlook for the vaccine is expected to improve, the central bank looks very proud at the end of its meeting.
There could be a volatile reaction in the bond market depending on indications about the Fed’s program to buy its bonds.
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