- US stocks rallied on Monday as investors bet on the distribution of Pfizer’s COVID-19 vaccine and stimulus progress to lift the economy.
- A bipartisan $US908 billion stimulus proposal is set to be formally unveiled on Monday.
- Reuters reported the bill will be split into two packages: one including $US748 billion in funds for highly supported measures, and a smaller package including more controversial state and local government aid and liability protections for businesses.
- Separately, deliveries of Pfizer and BioNTech’s coronavirus vaccine began on Monday, marking a major step forward in fighting the pandemic in the US.
- Oil prices ticked higher after a tanker exploded in a Saudi Arabian port. West Texas Intermediate crude gained as much as 1.9%, to $US47.44 per barrel.
- Watch major indexes update live here.
US stocks gained on Monday as investors cheered the rollout of Pfizer’s COVID-19 vaccine and plans to bring a stimulus deal to a vote.
The language of a bipartisan $US908 billion relief package is set to be introduced as early as Monday as Congress aims to pass a government funding bill before the week is out. The bill will be split into two measures, sources familiar with the matter told Reuters.
A $US748 billion proposal will include funds for strongly supposed programs including small business aid and expanded unemployment benefits. A separate measure includes state and local government aid and liability protections for businesses, critical sticking points that have held back a relief package for weeks.
“There’s no way, no way that we are going to leave Washington without taking care of the emergency needs of our people,” Democratic Senator Joe Manchin told Fox News on Sunday.
Here’s where US indexes stood shortly after the 9:30 a.m. ET market open on Monday:
- S&P 500:12,504.39, up 0.8%
- Dow Jones industrial average: 30,261.23, up 0.7% (215 points)
- Nasdaq composite:12,504.39, up 1%
Index futures gained early Monday morning as the first doses of Pfizer and BioNTech’s COVID-19 vaccine were delivered across the country. Regulators approved the vaccine for use last week, marking a major step forward in fighting the pandemic in the US.
The US Food and Drug Administration is also set to begin evaluating Moderna’s vaccine this week, setting the stage for potential emergency-use authorization before the end of the year.
Monday’s gains come after stocks posted their first weekly loss since early November. The threat of a government shutdown and still-rising coronavirus cases dragged equities lower on Friday.
Virgin Galactic tumbled after cancelling its first manned test flight due to a failed rocket ignition. Shares had gained in recent sessions amid rising hopes for the test.
Bitcoin reached a 24-hour high of $US19,371.79. The cryptocurrency has wavered around the $US19,000 level after soaring close to record highs of nearly $US20,000 earlier this month.
Gold fell as much as 1.1%, to $US1,818.90 per ounce. The US dollar weakened against all Group-of-10 currency peers and Treasury yields rose.
Oil prices climbed after a tanker exploded in a Saudi Arabian port. West Texas Intermediate crude gained as much as 1.9%, to $US47.44 per barrel. Brent crude, oil’s international benchmark, rose 1.7%, to $US50.80 per barrel, at intraday highs.
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