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Dow futures soar and this week begins despite a surge in coronavirus cases

The Dow Jones Industrial Average futures were high on Sunday night trading, despite an increase in Covid-19 cases in the US and abroad.

Futures contracts related to the Dow rose 112 points, up 0.38%. S & P 500 futures rose 0.32% and Nasdaq 100 futures rose 0.34%.

“This week’s stock will be traded in rising cases with blockade concerns, but as optimism about short-term temporary stimuli grows,” said Shannon Saccocia, chief investment officer at Boston Private. , May be pushed up in early December. ” “Overall, pushes and pulls between tech stocks and cyclics are likely to continue in the coming weeks, and economic data will be released that reflect the current deterioration in consumer spending, which could lead to tough days. There is sex. “

The Dow and S & P 500 also fell 0.73% and 0.77%, respectively, in the first negative week in three years, with all three major averages falling in the Friday session. The Nasdaq Composite recorded a 0.22% increase in one week, the second consecutive week of increase.

This move slowed as Covid-19 cases continued to grow and the United States reported a record high of over 195,500 new cases on Friday. Public health officials have warned that Thursday’s Thanksgiving celebration could exacerbate the outbreak.

According to a CNBC analysis of data compiled by Johns Hopkins University, the surge on Friday led to a seven-day average of over 167,600 new cases, an increase of about 20% over a week ago. Hopkins data show that in 43 states and the District of Columbia, the average of new cases over 7 days increased by at least 5% weekly.

Spikes have led to coronavirus-related restrictions in several places. On Thursday, California Governor Gavin Newsom enacted a “limited curfew” on the majority of state residents, demanding that unnecessary work and rallies be stopped between 10 pm and 5 am. did.The largest school system in Japan amid a surge in incidents

JP Morgan economists said on Friday that such measures “are likely to result in negative growth” in the first quarter. The company downgraded its first-quarter GDP outlook to a 1% reduction. This is Wall Street’s first forecast of negative GDP in the first quarter of 2021.

The disagreement between the Treasury and the Federal Reserve on continued funding for several emergency programs initiated in the outbreak of Covid-19 also weighed heavily on the market last week.

However, positive developments in the treatment and prevention of Covid-19 have suppressed emotions. On Saturday, the Food and Drug Administration on Saturday granted an emergency permit for Regeneron’s Covid-19 antibody treatment, an experimental treatment given to President Donald Trump. Meanwhile, on Friday, Pfizer and BioNTech applied to the FDA for an emergency license to use the coronavirus vaccine, which has a 95% efficacy rate.

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Dow futures soar and this week begins despite a surge in coronavirus cases

Source link Dow futures soar and this week begins despite a surge in coronavirus cases

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