On Monday 9 November, the United States’ primary stock indices showed an upward trend in the trading due to the results of the presidential election, as well as news that the third stage of COVID-19 vaccine research, developed jointly by Pfizer Inc (PFE) and the German company BioNTech SE (BNTX), was successful.
A possible candidate for vaccine status is confirmed to have demonstrated its efficacy in preventing coronavirus infection by more than 90 percent, whereas the first doses are expected to be available to medical personnel by the end of this year.
Official election results have not been announced yet, but it is clear that enough votes have been won by Joe Biden. The victory of Biden raises the possibility of a new large-scale package of policies to boost the US economy, giving investors confidence. Moreover, investors are confident that Senate power is likely to stay with the Republicans and, as a result, it will be very difficult for the Democrats to make substantial changes, including tightening the tax laws.
Goldman Sachs analysts’ revised forecast regarding the outlook presented today as they expect that the growth of the US economy could not place pressure on the indices. The experts have worsened their estimation of the US GDP growth rate for the first quarter of 2021 from 7 percent to 3.5 percent against the backdrop of a rise in the number of covid-19 cases.
The broad-market Standard & Poor’s 500 index advanced 1.17 percent to 3,550.50 points, the Dow Jones Industrial Average is up 2.95 percent at 29,157.97. The high-tech industries’ NASDAQ Composite index is down 1.53 percent or 181.45points to close at 11,713.78 points.
Light crude futures were up 9.08 percent at $40.29 per barrel. Gold rates are down 3.49 percent and are at $1854.1 per troy ounce. Meanwhile, the EUR / USD currency pair is 0.46 percent red and is at 1.182.