US Stock Market Overview – Stock Rise Led by Energy; Stimulus Talks Drive Sentiment

U.S. stocks rallied sharply on Tuesday as investor sentiment improved as stimulus bill talks restarted. Senator Mitch McConnell congratulated President-Elect Joe Biden, following Monday’s announcement that the Electoral College voted in favor of Biden. The top four congressional leaders met to try to strike deals to fund the government and send another round of coronavirus relief as millions of Americans await help. Most S&P 500 index sectors were higher, led by gains in Energy shares, Consumer Staple shares bucked the trend. U.S. import prices came in weaker than expected, weighing on the U.S. dollar, and buoying gold prices. New York closed indoor dining this week and is expected to close outdoor dining ahead of a storm that is expected to hammer the east coast.

Stimulus Could be on the Way

House Speaker Nancy Pelosi, met with Senate Majority Leader Mitch McConnell, Senate Minority Leader Chuck Schumer and House Minority Leader Kevin McCarthy’s Congress runs out of time to address stimulus issues. Treasury Secretary Steven Mnuchin, who spoke to Pelosi on the phone will also huddle among the congressional leaders. The meeting marks the most significant effort yet for the four leaders to come to a bipartisan agreement on a package that could get through a divided Congress. Absent congressional action, government funding will lapse Saturday.

U.S. Import Prices Rise Less than Expected

U.S. import prices rebounded less than expected in November. The Labor Expectations were for import prices to advance 0.3% in November. On a year over year basis, import prices decreased 1.0% after falling by the same margin in October. Petroleum prices increased 2.1% last month after slipping 0.1% in October. Excluding petroleum, import prices were flat after edging down 0.1% in October.