Stocks Jump to New High on Stimulus

The stock market is up again this morning. It’s hard to read the mind of the market, but I suspect that traders are pleased that President Trump signed the stimulus bill into law.

At one point, the S&P 500 got to another new all-time intra-day high of 3,737.82. The Dow got to a new high as well. Tech is leading and Energy is lagging. Airlines are doing well. Small-caps, which had been doing so well, are also lagging the overall market.

All the 11 major S&P sectors were higher, with financial, energy and industrials among the biggest gainers.

The S&P 1500 airlines index added 2.2% as carriers are set to receive $15 billion in addition payroll assistance under the new government aid.

Cruise operators Royal Caribbean Cruises Ltd, Carnival Corp and Norwegian Cruise Line Holdings Ltd also rose between 3.3% and 4.3%.

Trading volumes are expected to be thin in the final week of the year that has historically been a seasonally strong period for equities.

After a sharp recovery from a coronavirus crash in March, the S&P 500 is on track to rise more than 15% this year on the back of a loose monetary policy, high liquidity and a COVID-19 vaccine program.

Posted by on December 28th, 2020 at 12:06 pm


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