By Chuck Mikolajczak
New York (Reuters)-US equities have recorded a remarkable annual rise from strong to three major US stock indexes, despite the economic downturn caused by the COVID-19 virus as investors turned to the post. The turbulent year ended with Dow and records. -The world of pandemics.
Stocks soared and the S & P 500 rose more than 66% from its March 23 lows in the year ending the longest bull market on record as the pandemic blockade hit the global economy, resulting in the shortest. It became a bear market. In history.
The benefits of the Dow and S & P hitting record highs to end the year and Nasdaq breaking the record earlier this week are due to the large-scale finances implemented to strengthen the economy recovering from the fallout of the coronavirus. And partially facilitated by financial stimuli. Similar to the progress of vaccines.
Over the year, the S & P 500 rose 16.3%, the Dow 7.2% and the Nasdaq 43.6%, the largest increase in the tech heavy index since 2009.
“For a wide range of indices, this year is a bullish year, despite real-world madness,” said Mike Zigmont, Head of Research and Trading at Harvest Volatility Management.
“Investors have decided that the world has changed forever, and the coronavirus pandemic has catalyzed it, and now it feels like investors are moving forward, deciding winners and losers.”
Still, Thursday’s data show that the economy remains on a long recovery as weekly first unemployed bills fell to 787,000 for the second straight week, well above the peak of the 2007-2009 Great Depression. It reminded me of what I was doing.
Technology and consumer discretion were the highest performing sectors of the year, but energy, which has been behind for the past decade, is on its way to the worst annual performance of all time and is again the most of the 11 major S & P sectors this year. It was a weak sector.
Megacap companies such as Amazon (NASDAQ :) and Apple (NASDAQ :) have helped boost the wide range of S & P 500 and Nasdaq, as well as gaining names that have benefited from a “home” environment such as online. .. Retailer ETSY Inc and digital payment platform PayPal.
Tesla (NASDAQ :) shares, which were added to the Benchmark S & P Index on December 21, rose tremendously 743% year-on-year.
In the session, the S & P 500 rose 24.03 points (0.64%) to 3,756.07 and rose 18.28 points (0.14%) to 12,888.28, up 196.92 points (0.65%) to 30,606.48.
All three major indices rose, with the Dow and S & P 500 gaining momentum in the last few minutes of the session and hitting record highs.
Short-term larger stimulating check after Senate leader Mitch McConnell blocked a swift vote on Wednesday to support President Donald Trump’s call to increase the COVID-19 rescue check from $ 600 to $ 2,000 Expectations have faded.
Risk assets can be built on recovery from March lows, optimism about vaccine approval, in addition to US post-election November profits that investors saw were likely to lead to political impasse A new, highly infectious COVID-19 variant that has gained momentum, but has stopped momentum due to concerns about new fiscal stimulus.
Two US Senate elections in Georgia next week are drawing attention to the decision to manage the Chamber of Commerce, affecting Democratic President Joe Biden’s ability to set the agenda.
While trading volume on the US exchange was 9.27 billion shares, the average for all sessions over the last 20 trading days was 10.81 billion shares.
At NYSE, ongoing issues outnumber ongoing issues by a 1.44 to 1 ratio. In Nasdaq, a 1.13: 1 ratio supported the decline.
The S & P 500 recorded 29 new 52-week highs and no new lows. The Nasdaq Composite recorded 131 new highs and 21 new lows.
Wall Street Ends Wild Pandemic Year with Dow, S & P Recorded by Reuters
https://www.investing.com/news/stock-market-news/futures-muted-in-the-last-trading-session-of-2020-2377965 Wall Street Ends Wild Pandemic Year with Dow, S & P Recorded by Reuters