On December 15, 2020, Whittington D.C. In the U.S. At the Capitol, U.S. Senate Majority Leader Mitch McConnell spoke during a news conference with other Senate Republicans.
Tom Brenner | AFP | Getty Images
Stock futures rose slightly in trading overnight on Sunday as Congress managed to seal the coronavirus stimulus deal hours before the closing date.
Futures on the Dow Jones Industrial Average rose 40 points. S&P 500 futures were slightly changed and Nasdaq 100 futures rose 0.2%. Open on Monday, Tesla will enter the S&P 500 with a weighting of 1.69% in the index, the fifth largest.
Senate Majority Leader Mitch McConnell said lawmakers have agreed on a અ 900 billion relief package that would provide direct payments and unemployment benefits to struggling Americans. The announcement comes after negotiators resolved a key trend issue, returning to the Federal Reserve’s emergency lending powers.
To avoid a government shutdown starting at 12:01 a.m. Monday, Congress is seeking approval of a one-day spending measure on Sunday. Lawmakers will then vote on the relief and funding bill on Monday.
Amid fresh coronavirus stimulation as well as optimism about vaccine rollout, the main average has risen to record the recent highs. Moderna is shipping the first batch of its vaccine doses after obtaining approval from the FDA for use in the outbreak. Meanwhile, vaccines are being distributed to front line health care workers across the country by Pfizer and Bioentech.
“In terms of stocks, the inadvisable vaccination process, which is only just beginning, is more powerful than the current trends of cases and lockouts, and will prevent these markets from descending into the well of epidemic despair,” Adam Krisafuly, founder of Vital Knowledge, said in a note on Sunday. .
“Remember, the three pillars of the rally all remain in place: vaccines, strong corporate earnings and massive stimulus,” he added.
With just two trading weeks left in 2020, the S&P 500 is up 14.8% for the year, while the 30-stock Dow is up 5.8%. The Nasdaq Composite has rallied .25.2% this year as investors have opted for high-growth technology companies.
On Friday, the Fed announced that it would allow the country’s largest banks to resume share buybacks in the first quarter of 2021 subject to certain regulations.
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