Friday, February 19, 2021
What have we learned since last year’s market peak? Today marks exactly one year from the peak for the S&P 500 Index before markets began to reflect the future impact of COVID-19, triggering the fastest bear market in history. As a surprise to many, the S&P 500 climbed back to new all-time highs less than six months later. We take a look at the lessons learned in today’s LPL Research blog.
US stocks open higher looking to snap three day losing streak
- European markets mixed in midday trading. United Kingdom retail sales plummet after long national lockdown.
- Asian stocks mostly higher with China outperforming for the second straight day after returning from the Lunar holiday.
- The S&P 500 Index closed lower for the third straight day, but continued the trend of closing well off the intraday low.
- Traders have found shelter in large cap equities this week, outperforming small caps by roughly 2.5%.
- Treasury yields continue their advance higher, with the 10-year Treasury yield opening this morning at the highest level since February of 2020.
- The United States reported 67,000 new COVID-19 cases Thursday, down 35% week over week (source: COVID Tracking Project).
- Cases are up modestly from the weather-related disruptions earlier in the week, but still below the 7-day average of 73,000.
- Those currently hospitalized with COVID-19 continues to decline, down to 62,000.
- Israeli study shows the Pfizer/BioNTech vaccine reduced COVID-19 infections by 85%, intensifying the debate that delaying the second shot can improve availability of initial supply of the vaccine.
Market Signals Podcast: Finding Yield In A Low Yield World
LPL Financial Research Chief Market Strategist Ryan Detrick and LPL Financial Equity Strategist Jeff Buchbinder discuss some under-the-radar ideas to add income to your portfolio in a low yield environment in this week’s Market Signals podcast.
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