Investors expect the White House handover to be smooth and the vaccine to be delivered soon. The S&P 500 and Nasdaq closed at record highs on Friday.
As of the close, the Dow rose 37.9 points to 29911.4 points; the S&P 500 index rose 8.7 points or 0.2% to 3638.4 points; the Nasdaq outperformed other stock indexes, up 111.4 points, or 0.9%, to 12205.9 points.
US stocks closed three hours earlier on the day after Thanksgiving.
Retail stocks strengthened on "Black Friday" (hereinafter referred to as "Black Friday"). The SPDR S&P Retail ETF (The SPDR S&P Retail ETF) closed 0.9% higher and hit a new high, e-commerce platform Etsy rose 10.7%, and Gap closed higher. 0.7%.
Technology stocks performed well. Netflix rose 1.3%, Amazon rose 0.3%, Tesla rose 2.1%, with a market value of $545.8 billion, surpassing Berkshire Hathaway and becoming the sixth largest company in the US stock market by value.
Agency predicts that "Black Five" sales will reach 8.9-10 billion
Shopping malls are no longer long queues, parking lots are deserted, and there are more shop assistants than customers... The "Black Friday" under the epidemic is completely different from previous years, but the market still predicts that this year's "Black Friday" will record record sales.
Data analysis company Adobe Analytics predicts that Black Friday and Cyber Monday sales will set a record this year, of which "Black Friday" sales will reach between 8.9 billion and 10.6 billion US dollars, and online sales throughout the holiday season will reach 189 billion US dollars.
According to the agency's statistics, in the past Thanksgiving Day, online sales increased by nearly 21.5% year-on-year to 5.1 billion US dollars, a record, and nearly half of the sales were done on the mobile terminal.
The above data is in line with the expectations of retailers and industry observers, that is, during the epidemic, consumers avoid shopping in stores and choose to shop online.
The National Retail Federation (National Retail Federation) previously issued a report, predicting that from November to December this year, retail sales of car dealers, gas stations, and restaurants will be between 755.3 billion and 766.7 billion US dollars, a year-on-year increase of 3.6%-5.2 %, online and non-store sales will increase by 20%-30% compared with last year.
Goldman Sachs expects to reach 70% of vaccines in developed countries next fall
Market sentiment has also been relieved by the gradual clarity of elections. The VIX panic index, which represents market volatility, has fallen below 20 for the first time since late February.
Foreign media reported that US President Trump said on Thursday night that if the Electoral College chooses Biden as US President, he will leave the White House.
He also said that the vaccine will be delivered as soon as next week.
Goldman Sachs predicts that by the middle of next year, a large number of people in major developed economies will be vaccinated against the new crown, which will promote a sharp rebound in global economic growth.
The bank’s economists Jan Hatzius and Daan Struyven published a report, predicting that in mid-December the high-risk population in the United States may be the first to receive the vaccination. In March next year, 50% of the British population will complete the vaccination, and the United States and Canada will achieve this vaccination in April. Ratio, the European Union, Australia and Japan may achieve half of the population vaccinated in May.
In the fall of next year, the proportion of vaccination in developed economies will exceed 70%.
The Dow rose 13% in November, the best month since January 1987
Summarizing the week, the Dow and S&P 500 index rose 2.2% and 2.3% respectively, and the Nasdaq rose nearly 3%. The Dow closed above the 30,000 mark for the first time on Wednesday. The Russell 2000 index, which tracks small-cap stocks, has repeatedly set new highs.
On a month-by-month basis, the positive progress in vaccine research and development led the US stock market to record a strong rise in November. The Dow has risen 12.9% from the beginning of the month to the present, or its best month since January 1987. The S&P 500 and the Nasdaq rose respectively. At 11.3% and 11.9%, the Russell 2000 Index soared by 20%, which is expected to record the largest monthly gain in history. Value stocks performed well. The Russell 1000 Value Stock ETF (iShares Russell 1000 Value ETF) rose 15% this month.
Bill Northey, senior investment director at US Bank Wealth Management, said that as the vaccine approaches the market and the market fully participates in the rising process, we see funds rotate to sectors that are more affected during the epidemic.
When the epidemic situation turns from crisis to safety, the previously suppressed economic activities and backlog of demand will gradually return.
Mike Zigmont, head of trading and research at Harvest Volatility Managemen, an investment company, said that the stock market performance this week and this month showed that market confidence continued to increase and the market environment tended to favor risky assets.
European stocks and crude oil
The good news about the vaccine has made investors ignore the recent worsening of the epidemic and hope that the economy will recover quickly next year. European stock markets closed higher on Friday, rising for the fourth consecutive week.
The pan-European STOXX600 index closed up 0.4%, a cumulative increase of 0.93% this week; the German DAX index closed up 49.1 points, or 0.4%, to close at 13335.7 points; the British FTSE 100 index rose slightly by 4.7 points to 6367.6 points; the French CAC40 index It closed at 5598.2 points, an increase of 0.6%.
ETX Capital analyst Michael Baker commented that investors no longer pay attention to short-term risks, but bet that the annual economic growth will accelerate and that the government will introduce more stimulus measures if there are problems with market expectations.
Since the plunge caused by the new crown virus in March, the STOXX600 index has risen by 40%. November is expected to record its best month in history, but the increase in infection cases in some European countries has limited the increase.
On Friday, the number of confirmed cases of the new crown in Germany exceeded 1 million, and the number of deaths in a single day reached a record high.
In terms of crude oil, WTI crude oil futures fell 40 cents, or 0.9%, to close at $45.32 per barrel on Friday.
Brent crude oil futures rose 19 cents, or 0.4%, to $47.99 per barrel.
Boosted by vaccine news, the two oils both rose about 7% weekly.
Author: Li Ailin