Monday, December 14, 2020
Stocks open firmly higher. US markets opened higher following the emergency-use approval of the Pfizer-BioNTech COVID-19 vaccine.
- Fiscal stimulus discussions are ongoing, but there have been no major developments.
- European markets are broadly higher in midday trading.
- Asia markets were mixed with Hong Kong the laggard.
This week’s economic calendar. The Federal Reserve’s Federal Open Market Committee (FOMC) meeting on Wednesday highlights this week’s economic calendar. Economic data out this week includes:
- Import and export prices and industrial product for November
- Wednesday. FOMC meeting, November retail sales, October business inventories, November Purchasing Managers Index (PMI), and December homebuilder sentiment
- Building permits/housing starts for November and weekly jobless claims
- November Leading Indicators and Q3 current account
Technical update. The S&P 500 Index fell the final three days of last week, closing Friday at 3663. Despite headline losses for the large cap indexes, the Russell 2000 Index and the energy sector both finished with more than 1% gains, extending small caps outperformance versus large caps to more than 26% since the March lows.
COVID-19 news. The Food and Drug Administration granted Emergency Use Authorization for the COVID-19 vaccine produced by Pfizer and BioNTech, and the first shipments are being distributed in the United States now (source: COVID Tracking Project).
- 7-day average week-over-week change in new daily COVID-19 cases is down to 9.3%.
- Week-over-week hospitalization growth is moderating.
This material is for general information only and is not intended to provide specific advice or recommendations for any individual. There is no assurance that the views or strategies discussed are suitable for all investors or will yield positive outcomes. Investing involves risks including possible loss of principal. Any economic forecasts set forth may not develop as predicted and are subject to change.
References to markets, asset classes, and sectors are generally regarding the corresponding market index. Indexes are unmanaged statistical composites and cannot be invested into directly. Index performance is not indicative of the performance of any investment and do not reflect fees, expenses, or sales charges. All performance referenced is historical and is no guarantee of future results.
Any company names noted herein are for educational purposes only and not an indication of trading intent or a solicitation of their products or services. LPL Financial doesn’t provide research on individual equities.
All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.
All index and market data are from FactSet and MarketWatch.
This Research material was prepared by LPL Financial, LLC.
Insurance products are offered through LPL or its licensed affiliates. To the extent you are receiving investment advice from a separately registered independent investment advisor that is not an LPL affiliate, please note LPL makes no representation with respect to such entity.
- Not Insured by FDIC/NCUA or Any Other Government Agency
- Not Bank/Credit Union Guaranteed
- Not Bank/Credit Union Deposits or Obligations
- May Lose Value
For Public Use – Tracking 1-05089018