E-mini S&P

Markets are enjoying the reinvigoration of Covid-19 aid talks in Washington, despite the price tag being slashed in half.
Although we’re upbeat that the market broadly and certainly finds the path of least resistance higher across the board, the move in and of itself has left the Dow and Russell 2000 a step behind.
A slow-developing, yet constant flow of vaccine news continues to lift stocks just as a glimmer of exhaustion may look to set in. Today’s tailwinds have the S&P testing its record high.
U.S. benchmarks have battled through the ‘Covid-19 anti-gathering Thanksgiving narrative’ and are all generally holding within 1% of their respective all-time highs.
Call it a hangover from Friday’s late selling and an early struggle to chew through major three-star resistance, coupled with the U.S. Dollar reversing losses.
The S&P 500 index and Nasdaq-100 incurred a swift wave of selling in the final hour Friday. Pick your poison for the reasoning, but in the end, it was simply a de-risking ahead of the weekend as the Covid-19 pandemic rages on.
Today, Pfizer and BioNTech said their Covid-19 vaccine is 95% effective and plan to file for an Emergency Use Authorization. This sets it in line with Moderna’s results and the stocks have acted accordingly.
The S&P 500 index is holding ground in positive territory for the week. This is our key takeaway as we head into the back half and a busy economic calendar.
President Trump promised an October surprise, but the developments came just one week removed from one of the tightest elections in history. We have been calling for a bull-run post-election, no matter who wins and as long as the country avoided a ‘blue wave,’ as it removes uncertainties from the risk-landscape.
Once the dust from the election settles, can Congress come together and achieve new Coronavirus Aid legislation before yearend?