From the wsj’s “Stock Futures Rise on Vaccine, Stimulus Hopes” posted early Wednesday:
Stocks have been jittery in recent days, with the major indexes wavering daily between losses and gains. On Wednesday, sentiment was buoyed by signals that Democrats will seek to bridge differences over jobless benefits and other issues as they aim to complete a $1.9 trillion relief package in coming days. Mr. Biden also said the U.S. would have enough Covid-19 vaccines for all American adults by the end of May, two months earlier than he had previously said.
“The vaccine rollout is going extremely well compared to many expectations,” said Seema Shah, chief strategist at Principal Global Investors. “And at a time when it looks like the economy could recover on its own, we also have the prospect of fiscal stimulus in the background, and it is leading many people to upgrade their U.S. growth expectations.”
Optimism about the better economic prospects is particularly fueling demand for shares in companies that would benefit when the economy returns to normal, said Chris Dyer, director of global equities at Eaton Vance. That includes banking and energy stocks, which are outperforming the technology sector this year.
“We can see light at the end of the tunnel of the pandemic,” Mr. Dyer said. “The progress that has been made on vaccinations has led to confidence in the economic recovery and you have seen companies geared into that economic recovery do well in the last months.”
My take: Mr. Premarket was green yesterday, and look how that turned out.