Wall Street trading ended with multidirectional shifts in the main indices on Tuesday, December 22. The stocks were moved in opposite directions by the prospect of funds from a new financial aid package, uncertain figures and concern about a new coronavirus mutation.
Final data from the US Department of Commerce showed that after a record fall of 31.4 percent in the second quarter, GDP increased by 33.4 percent in terms of annual rates in the third quarter. This is marginally higher than the previous 33.1 percent estimate.
Meanwhile, secondary-market home sales fell 2.5 percent from the 15-year peak of the previous month to 6.69 million units in November 2020, worse than market estimates that had predicted a 1 percent decrease. In 6 months, this was the first fall. However, as opposed to last year, gross revenue rose by 25.8 percent.
Meanwhile, on the eve of Congress, the $892 billion package was eventually accepted and the country’s fiscal year 2021 budget of $2.3 trillion was also adopted. This was largely backed by the market’s bullish outlook, as President Trump was expected to sign it shortly. However, Trump said that this document did not suit him in the evening after the markets closed. He called for increasing the number of individual bonus checks from $600 to $2000, as well as decreasing assistance to other nations. All the long work to agree on the document went down the drain, and as of December 28, the U.S. government is now facing being left without a budget.
Nevertheless, at the end, the stock market was not yet aware of that demarche. The blue-chip Dow Jones Industrial Average dropped 0.67 percent to 30,015.51 points at the end of the day, the wide-market Standard & Poor’s 500 index dropped 0.21 percent to 3,687.26 points, and the NASDAQ high-tech index finished the day up 0.51 percent and stopped at 12,807.92 points.