5 Issues To Know Earlier than The Change Opens Tuesday March 23rd
Here are the top news, trends, and analysis that investors need to get their trading day started:
1. The S&P 500 will fall on the anniversary of the bull market
The New York Stock Exchange (NYSE) is located in New York City in Lower Manhattan on March 9, 2021. The Dow Jones Industrial Average rose more than 300 points on Tuesday as technology stocks rose and optimism over the recently passed Covid bailout bill cheered investors on. (Photo by Spencer Platt / Getty Images)
Spencer Platt | Getty Images News | Getty Images
US stock futures fell Tuesday after the Dow Jones Industrial Average and S&P 500 lost two sessions. The Nasdaq posted gains for a second straight session, rebounding about half of its 3% decline on Thursday. Tech stocks benefited from 10-year government bond yields for the last two sessions, falling from last week’s 14-month high. Tuesday marks a year since the stock market’s Covid low, which ended the fastest bear market ever and ushered in another bull market. The S&P 500 has gained 76% since March 23, 2020, just under 2,237. Last year, two presidents, Congress and the Federal Reserve, instituted extraordinary fiscal and monetary policies to support the economy during the pandemic.
2. Yellen, Powell, to testify on Capitol Hill about economic recovery
Federal Reserve Chair Janet Yellen (L) congratulates Fed Governor Jerome Powell on his swearing-in ceremony for a new term on the Fed’s Board of Directors in this flyer photo taken and posted on June 16, 2014.
US Federal Reserve | Reuters
Fed Chairman Jerome Powell and Treasury Secretary Janet Yellen testify before the House of Representatives Financial Services Committee at 12 noon ET on Tuesday. Yellen, who was Powell’s predecessor, said she sees both growth and potentially full employment over the next year and is crediting President Joe Biden’s aid package to Covid. Powell’s prepared remarks were cautiously optimistic, saying the economy was “much improved” but the recovery was “far from complete”. Last week, after its March meeting, the Fed forecast higher growth and inflation, while interest rates are expected to stay near zero through 2023.
3. AstraZeneca Addresses US Concern about Vaccine Trial Data
A vial labeled with the AstraZeneca coronavirus disease (COVID-19) vaccine can be seen in this picture taken on March 19, 2021.
Given Ruvic | Reuters
AstraZeneca said Tuesday it would work with an independent group of U.S. health advisors who raised concerns about possible outdated information in the UK drugmaker’s Covid vaccine study results. AstraZeneca said it would “publish primary analysis results within 48 hours”. The questions came a day after the company said a late-stage study in the US and Latin America showed 79% effectiveness for its two-shot regimen. AstraZeneca’s vaccine has also faced problems recently in Europe as a number of nations temporarily stopped using the vaccine following reports of blood clots.
4. Covid cases are increasing in parts of the US as some states relax restrictions
People are enjoying themselves walking down Ocean Drive on March 18, 2021 in Miami Beach, Florida. College students have arrived in the South Florida area for the annual spring break ritual. City officials are concerned about large crowds during the spring break as the coronavirus pandemic persists.
Joe Raedle | Getty Images
Covid cases are rising again in more than half the US as health officials warn of reopening too early and try to vaccinate more people before highly contagious strains spread across the country. According to a CNBC analysis of data compiled by Johns Hopkins University, the seven-day average of new cases in 27 states rose 5% or more on Sunday. In the US, the nation recorded an average of 54,308 new cases per day for the past week, a 1% increase from the previous week after months of rapidly declining case numbers.
5. Biden is considering a $ 3 trillion infrastructure package
President Joe Biden speaks to press officials on the South Lawn after returning to the White House on March 21, 2021 after a trip to Camp David, Washington.
Erin Scott | Reuters
Biden is putting together the next major White House priority, a $ 3 trillion infrastructure package. That would be on top of its recently signed $ 1.9 trillion coronavirus stimulus. The president met privately with Senate Democrats late Monday as Congress has already begun laying the groundwork for road, hospital, and green energy system development under Biden’s “Build Back Better” campaign promise. While the goal is a bipartisan package, Democrats in Congress have signaled a willingness to go it alone if they are blocked by Republicans.
– Associated Press and Reuters contributed to this report. Get the latest information on the pandemic on CNBC’s coronavirus blog.