Stock futures rose in the beginning of the week, setting stocks up to add to last week’s record levels as markets reacted to positive developments over the COVID19 treatment.
Technical Analysis
Information is not investment advice
The market focus today will be on politics, with the attempt in the United States to get a new fiscal policy package and the relations with China.
The advance of S&P500 came as shares of big tech stocks rallied and reflected the trend of the past months this year in equity markets, as investors showed interest into software and tech names as a defensive strategy against the pandemic.
Gold exceeded $2.000 per ounce. Stock futures rose on Wednesday as investors awaited further updates on stimulus talks.
New COVID-19 cases globally have been on the rise lately, although it is too early to call them second waves in most countries.
With the pandemic claiming about 1000 lives a day in the United States, many departments said they lack the money and the staff to identify people who have been exposed, according to a survey of a 121 local agencies.
The focus is on the ongoing negotiations of the next stimulus bill in the United States, which do not seem to move forward.
Stocks futures rose on Monday, indicating a higher start to the first session of August.
The Bank of England is expected to keep its monetary policy unchanged this Thursday.
US cases jump by 67.000, US agrees to pay Sanofi and GSK 2.1 billion dollars for 100 million doses of coronavirus vaccine.
Gold gains more than 1% against the US dollar and currently trading at 1976. Intraday it reached up to 1980 which is a new record for the precious metal.
The risk of a second wave of coronavirus is more likely to put pressure on rates. Risky assets are supported by fiscal and monetary stimulus.