The main indices in the United States, the Dow Jones and S&P 500 hit new highs on Monday as Stimulus optimism grows.
Wall Street rallied on the back of comments from Treasury Secretary Janet Yellen on Sunday, who stated that the U.S. workforce could be back in full swing providing a deal is agreed.
Joe Biden’s $1.9 trillion stimulus package is still yet to be passed; however, Yellen believes if it receives bi-partisan support, a recovery could soon follow.
Yellen also stated that “We have people suffering … through absolutely no fault of their own, we have to get them to the other side and make sure that this doesn’t take a permanent toll on their lives.”
As of writing the S&P 500 was up 0.36%, with the Dow trading 0.47% higher.
Tesla investment sends Bitcoin to record high
Bitcoin rallied to an all-time high to start the trading week, as it was announced that Tesla made a significant investment in cryptocurrency.
News reports on Monday stated that the company founded by Elon Musk had bought $1.5 billion worth of bitcoin.
The company stated that the move was made to bring “more flexibility (and) to further diversify and maximize returns on our cash.”
Elon Musk who last week changed his twitter bio to “bitcoin”, has been heavily involved in the crypto space recently, also helping Dogecoin rally to new highs.
As of writing this, BTCUSD hit an intraday high of $44,809.
FTSE 100 rises as COVID-19 cases slow in UK
The FTSE 100 in London today rose on reports stating that the UK’s daily COVID-19 infections had fallen to their lowest in two months.
With the government expected to announce new guidelines regarding lockdown measures in the next few weeks, today’s data would boost the chances of seeing some relaxation to the rules.
Figures showed that there were 14,104 positive tests of COVID-19 in the latest daily total, which is down from 15,845 yesterday, and the lowest figure since December 8th.
Over 12 million people had also received the first dose of the vaccine. As of writing the FTSE 100 was up 0.53%.
Quote of the day – “Stocks are bought not in fear but in hope. They are typically sold out of fear.”Justin Mamis
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Senior Market Analyst