While the S&P 500 SPX,
and Nasdaq Composite COMP,
broke new records on Monday with the $ 908 billion stimulus project finally sanctioned, there were some segments that did not join the party.
On the one hand, the little Russell 2000 RUT,
closed down, after a three-month stretch in which the index jumped 33%.
Another segment that did not participate in Monday’s rally was the recent listings. Renaissance’s publicly traded fund IPO,
stumbled almost 5%. Bespoke Investment Group analysts point out that it is the worst relative performance for the NYSE FANG + NYFANG index,
– the Facebook FB grouping,
Amazon AMZN,
Apple AAPL,
Netflix NFLX,
and the owner of Google, Alphabet GOOG,
along with a few other tech giants, including Alibaba BABA,
and Tesla TSLA,
– in its history.
Companies, including the exercise bike manufacturer Peloton Interactive PTON,
Zoom Video Communications ZM,
Pinterest PINS from the social media site,
and the data analysis provider Palantir Technologies PLTR,
each fought.
“This is by far the worst relative performance in the history of the NYSE FANG + index and could be a sign that the market is starting to reevaluate aggressive bets on unproven companies that have also acted as part of the SPAC craze,” said the Bespoke analysts. SPACs are special-purpose acquisition companies, called blank check firms, that intend to acquire other companies as a way of making them public.
The Defiance Next Gen SPAC Derived ETF SPAK,
with components, including sports betting company DraftKings DKNG,
and the space flight company Virgin Galactic SPCE,
also closed lower on Monday.
The buzz
The House voted to override President Donald Trump’s veto of the defense bill, while Senator Bernie Sanders threatened to obstruct action to do so in the Senate, unless a vote is passed on the $ 2,000 stimulus proposal it passed the lower chamber.
Companies that have seen huge falls in stock prices may see more pressure in the coming days, as investors block fiscal losses on capital gains.
US hospitalizations of COVID-19 set a record 121,235 on Monday, according to the COVID-19 tracking project. Deaths have declined significantly since Christmas, probably due to the slowdown in holiday reporting.
More Israelis received the vaccination than contracted coronavirus, according to a government minister. In the United States, 2.13 million people received the dose, according to the Centers for Disease Control and Prevention, or 11% of the number of people who contracted the disease.
The European Union and China are closing a trade agreement that will give greater European access to Chinese industry and greater Chinese access to the European energy space.
The market
US stock futures ES00,
NQ00,
YM00,
pointed to additional gains.
The FTSE 100 UKX,
increased sharply in London in its first action since the United Kingdom agreed to a trade agreement with the European Union that will continue tariff-free access.
The DXY dollar,
was lower against the main rivals, notably the euro EURUSD,
The yield of the 10-year Treasury TMUBMUSD10Y,
was 0.95%. Bitcoin BTCUSD,
was trading below $ 27,000 in turbulent new stocks.
Random readings
A Japanese company, Sumitomo Forestry 1911,
began researching the manufacture of wooden satellites to reduce space waste.
Two widowed penguins comfort themselves looking at the Melbourne skyline.
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