As we’ve become accustomed to, the anticipation of fresh measures should keep powering the bull market, however, we welcome the move with caution as markets turn a blind eye to potential headwinds.

At this point in time, have markets priced in where they believe stocks and economic conditions should be in the second half of the year? Maybe so.

With unprecedented amounts of stimulus splashing around, it’s only a matter of time before inflation shows up.

Trump is already out, and the market has shifted focus to President-elect Biden. As a move for impeachment moves forward, the market will likely view it as stealing valuable time away from fiscal talks.

As we’ve discussed many times before, markets don’t like uncertainty, and this certainly adds a layer. Yes, there’s a cleaner path to added stimulus measures, which markets love, but it also introduces tremendous uncertainties for corporations, especially Big Tech, and this can be seen through the Nasdaq’s early reaction.

From U.S. equity benchmarks to Platinum and Soybeans, many asset classes began surging higher at the Sunday night open before volatility ensued at 8:30 a.m. CT.

Fueling the risk-on jolt is a weaker U.S. Dollar. As we discussed in our last note and throughout the year, USD is the sacrificial lamb for the pandemic-ridden economic rebound.

Although there's a chance that increased stimulus checks may not get passed, other integral parts of this bull market are likely to be much safer.

Now that the quadruple witching cleansing has played out and news of Congress passing the coronavirus aid bill has already sold, are we any less cautious than we were Friday? Not just yet.

Although they didn’t announce some new robust stimulus program, their absolute and total commitment to highly-accommodative monetary policy until the economy recovers fully was exactly the reassurance risk assets needed.