Listen to the latest market mood for the S&P500.
The latest comments from Fed’s Chair Jerome Powell confirm the Fed’s bearish stance. Jerome Powell has stressed the Fed’s will not adjust monetary policy for the foreseeable future. This is positive for US stocks.
Low-interest rates until 2023, a large stimulus package ahead from Washington, a rapid vaccine roll-out programme and the assurances that any headwinds for the US economy will result in fiscal and monetary support all support US stocks.
Technically there is a bullish pin bar forming on the S&P500 futures chart and a break to the upside would favour higher prices.
Trade Risks: Any strong risk-off trading or hints of the Fed bring forward interest rates will invalidate this outlook.