Global equity optimism, which won 3.4% last week, was largely present when the weekly trading began.
The Dow Jones scored 28,842 points, up 0.89%. Nasdaq is even more forceful. Nasdaq also rose 2.03% at a new five-week high of up to 11,915. Meanwhile, the S&P 500 is between its US counterparts, rising 1.34% to 3,524 points.
Speaking about US equity optimism, Kingswood CIO Rupert Thompson believes that a mix of stimulus hopes and a solid Biden lead helped consolidate the profits of the US index.
“Thanks to the far-reaching sympathy vote, which is far from Trump, his antics have increased Biden’s lead in the poll to nearly 10%. The betting market is now giving Biden two three chances to win the presidency.”
“If Biden had a clear victory, this would reduce the chances of a worst outcome for the market. This would remain in conflict for weeks after the election. A decisive victory would mean that Biden will be able to implement a plan for a substantial fiscal stimulus package early next year, especially when it comes to Democrats who have gained control of the Senate.”
“The recent concern is that Congress and the President have not agreed to a package that replaces the stimulus package that expired in July. The position here was changed almost daily last week, but a well-balanced contract seems unlikely on this side of the election. If so, the outlook for a new democratic government can make more and more necessary fiscal stimulus packages is clearly appealing.”
However, the most impressive shift came from Asian stocks, with SSE composites rising 2.64% to 3,358 points, while Hangsen jumped 2.20% to 24,650. Slightly east, the Nikkei fell 0.29% to 23,559 points.
