After a rocky start to the week the stock market seems to be looking up yet again with the three primary New York markets reporting gains for the day. The Dow Jones saw an increase of 0.63% to close at 29,823.92. The NASDAQ saw an increase of 1.28% to close at 12,355.11 and the S&P 500 saw an increase of 1.13% to close at 3,662.45. STOXX Europe also climbed today by 0.65% to close at 391.90.
The stock market is continuing a positive trend with the S&P 500 and NASDAQ both reporting record closing numbers by jumping 1.1% each. It seems for the S&P the communications and financials sectors were the ones leading the way and driving the stock in a positive direction. This after the Dow Jones managed to post a better monthly gain in November than it had since 1987. And the S&P and NASDAQ both reported excellent months. The analysts seem to think that things could continue as the optimism surrounding a potential vaccine (or three) continues to improve sentiments.
“… Conversely, you see the VIX coming down to the levels where it is today, by nearly half, also because of positive news on the vaccine. So the market is very, very sensitive to what is happening with COVID.” said Alfred Eskandar, Salt Financial President
Apple and Tesla were two large companies that saw an increase and some benefits for the Dow Jones, as did Microsoft, though not by as much. On the other hand several stocks, including Zoom Video and Xpeng Motors saw a drop. Other stocks, which managed to hold their own though didn’t do as well, including Advanced Micro Devices, Chipotle Mexican Grill and others.
With updates coming frequently on the coronavirus and the potential for vaccines as early as the end of the month it seems that there’s a great deal of hope in the market. More and more people are starting to see this light at the end of the tunnel and just might be ready to turn things around if the vaccine news and optimism turns out to be accurate.
Oil prices fell today with West Texas Intermediate reporting a drop of 0.52% to close at $44.32 per barrel. Gold prices also fell today by 0.14% to close at $1,812.35 per ounce. The treasury yield rose slightly today with the 10 year yield coming in at 0.92 and the 30 year yield at 1.66.