S&P500, NASDAQ up as stimulus talks resume
After calling off talks over a COVID-19 aid bill on Tuesday, President Trump has confirmed that discussions with the Democrats will once again resume.
This news boosted stock markets on Thursday, as the release of Initial Jobless Claims also raised hopes of an economic recovery, with claims coming in at 840K vs 849K last week.
The Dow Jones was up 0.40%, the S&P 500 rose 0.68% and the NASDAQ gained 0.60% in mid-day trading. IBM was one of the day’s biggest individual movers rising as much as 6.8% after saying it will be splitting into two public organisations.
Bullish BoE sends FTSE 100 higher
The FTSE 100 rallied on Thursday as Bank of England Governor Andrew Bailey gave a speech to the European Commission.
In his speech, Bailey stated, “We (BoE) must use policy actively and aggressively, and we have done that”, which helped move Sterling.
The Governor went on to add that, “We are by no means out of firepower … in terms of our policy tools, and we will use that firepower as appropriate, properly and strongly in response to second and third waves, where we think it is necessary”.
The FTSE 100 rose 0.53% as a result.
COVID-19 the key topic in Vice Presidential debates
Last night’s Vice Presidential debate mainly centered around President’s Trump’s handling of the coronavirus outbreak.
Democratic VP candidate Kamala Harris called the handling “the greatest failure of any presidential administration” in history. The U.S. has registered close to 7.6 million cases, with over 200,000 deaths since the outbreak began.
Eyes now turn to the next Presidential debates, however this may be delayed as US President Donald Trump has refused to take part in any virtual debates, which many believe he should, after recently testing positive for COVID-19.
Quote of the day – “Frankly, I don’t see markets; I see risks, rewards, and money.” –
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Senior Market Analyst