US STOCKS Wall Street set to wind up pandemic year with gains

FILE PHOTO:The boot on the statue of George Washington, the first president of the United States, is seen across from the New York Stock Exchange (NYSE) following Election Day in Manhattan, New York City, U.S., November 4, 2020. REUTERS/Andrew Kelly

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Dec 31 (Reuters) – The benchmark S&P 500 and the tech-heavy Nasdaq were set to end a year ravaged by the COVID-19 pandemic with strong gains, thanks to unprecedented stimulus and vaccine rollouts that have boosted hopes of an economy recovery.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>After surging to record highs this week in a solid recovery since March when the pandemic triggered the steepest global recession in generations and left millions of Americans unemployed, Wall Street’s three main indexes eased just a bit on Thursday.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>”It’s end-of-year optimism and the market is looking ahead after a tumultuous trading year, given the COVID, the election and the Fed,” said Andre Bakhos, managing director at New Vines Capital LLC in Bernardsville, New Jersey.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”> The S&P 500 (.SPX) has climbed almost 70% from its March low, putting it on course for a more than 15% yearly gain.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Seven of the sectors are on track to gain for the year with tech (.SPLRCT) set to be the best performer with a more than 41% jump, while energy (.SPNY) on course for its biggest yearly collapse in history.

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l43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>The Nasdaq (.IXIC) was set to record a 43% jump in what could be its best yearly performance since 2009, benefiting from a surge in tech mega-caps such as Alphabet Inc (GOOGL.O), Microsoft Corp ((MSFT).O), Apple Inc (AAPL.O), Facebook Inc (FB.O) and Netflix Inc (NFLX.O).

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>The NYSE FANG+TM index (.NYFANG) has more than doubled in value this year.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>The blue-chip Dow (.DJI) is also tracking a modest 6.4% gain for the year.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>”We have several of vaccines and it’s a general feeling of hope this country and the rest of the world will pull out of this and the economic activity although greatly damaged, will be back on track sooner than people have predicted,” Bakhos said.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Meanwhile, a U.S. Labor Department report showed the number of Americans filing claims for jobless benefits fell for the second straight week, but remained elevated more than nine months into the economic crisis. read more

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Near-term expectations of bigger stimulus checks dimmed after Senate Majority Leader Mitch McConnell blocked a quick vote on Wednesday to back President Donald Trump‘s call to increase COVID-19 relief checks to $2,000 from $600.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Risk assets rallied in November following a favorable U.S. election outcome and optimism around vaccines rollouts, but the momentum stalled on worries over fresh fiscal stimulus and a new, highly infectious COVID-19 variant spreading globally. read more

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>All eyes are on two U.S. Senate races in Georgia next week that will determine control of the chamber and influence Democratic President-elect Joe Biden‘s ability to enact his agenda. read more

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>At 11:56 a.m. ET, the Dow Jones Industrial Average (.DJI) was down 39.32 points, or 0.13%, at 30,370.24, the S&P 500 (.SPX) was down 3.94 points, or 0.11%, at 3,728.10, and the Nasdaq Composite (.IXIC) was down 38.54 points, or 0.30%, at 12,831.46.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Six of the major S&P 500 sectors edged lower, with energy (.SPNY), industrials (.SPLRCI) and materials (.SPLRCM) falling after recent gains.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Trading volumes are likely to remain light on New Year’s Eve and the markets will remain closed on Friday.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Shares of Tribune Publishing Co (TPCO.O) rose 9.4% after its largest shareholder, Alden Global Capital, offered to take full control of the owner of the Chicago Tribune in a deal that values the newspaper chain at $520.6 million.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Declining issues outnumbered advancers for a 1.02-to-1 ratio on the NYSE, and for a 1.54-to-1 ratio on the Nasdaq.

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>The S&P index recorded 11 new 52-week highs and no new lows, while the Nasdaq recorded 88 new highs and 13 new lows.

3Ml43 text__regular__2N1Xr text__default__UPMUu sign-off__text__328ww”>Reporting by Devik Jain and Supriya R in Bengaluru; Editing by Arun Koyyur

3Ml43 text__regular__2N1Xr text__large__nEccO body__base__22dCE body__large_body__FV5_X article-body__element__OOj6H”>Our Standards: The Thomson Reuters Trust Principles.