Wall Street rode a wave of optimism on Wednesday. All major stock indexes have strengthened under the influence of the improving economic outlook for 2021. This is due to the successful continued vaccination against the coronavirus, as well as investors’ belief in the positive effect of the US fiscal package.
New York’s main stock index rose 0.13 (S&P 500) to 0.24 percent (Dow Jones Industrial Average) on Wednesday. In recent weeks, investors have focused on buying stocks, which are generally growing at a time when the economy is turning to a growth trajectory. They are therefore mainly banking or energy titles, in short, sectors that are subject to the business cycle. By contrast, technology stocks, which have enjoyed robust growth so far, have weakened slightly.
Investor sentiment was reflected in optimistic expectations about future economic developments. This is mainly fueled by continued population vaccination not only in the United States, but also in other economically important countries. Investors also expect the fiscal package recently signed by President Donald Trump to affect the US economy soon.