Sandra Brown 2/9/2021
In the US, the largest stock indices renewed their all-time highs
The reason for the record growth was the news about the authorities' intention to approve a $1.9 trillion economic aid package.
The four major US stock indices вЂ” Dow Jones, S&P 500, Nasdaq, and Russell 2000 вЂ” set new records after the close of trading on Monday, February 8, amid plans by the US government to approve a bailout package, CNBC reported.
Thus, the Dow Jones Industrial Average index rose by 0.42% to 31,279 points, the S&P 500 вЂ” by 0.35% to 3900, the Nasdaq вЂ” by 0.5% to 13,925, Russell 2000 вЂ” by 1.83% to 225.
It is noted that the surge in demand for shares of companies was caused by the news of the readiness of the US Congress to immediately approve the package of economic assistance to the American economy in $1.9 trillion, proposed by President Joe Biden.
Both houses of Congress last Friday adopted resolutions to amend the state budget. The Senate is due this week to approve a simple majority of the aid package, after which it went into effect.
Also, the rise in the value of shares was influenced by the statement of President Biden that within the first 100 days in office, he will provide 100 million anti-toxic vaccines.
In addition, additional factors in the growth of the indices were Tesla's statements about investments of $1.5 billion in the Bitcoin cryptocurrency, the allocation of $14 billion as part of the aid package to support American airlines, the rise in oil prices to a 12-month high, forecast by the head of the US Treasury Janet Yellen a drop in the unemployment rate to the coronavirus level by 2022, positive quarterly reports of a number of companies.
TAGS: USA, ECONOMY