S&P 500 Futures refresh record top above 3,700 on US covid aid package updates

• S&P 500 Futures print four-day uptrend to mark the record high near 3,740.
• US House backs President Trump’s demand of $2,000 paychecks, rejects veto over $740.50 billion defense policy bill.
• Headlines concerning China, lack of major data/events keep bulls in check.

S&P 500 Futures rise 0.40% while refreshing the all-time top to 3,739.12, currently around 3,737.88, during early Tuesday. In doing so, the risk barometer prints a four-day winning streak while extending last Wednesday’s u-turn from 3,651.

Behind the moves are chatters surrounding the US coronavirus (COVID-19) aid package updates from Capitol Hill. Following US President Donald Trump’s surprise signing of the much-awaited stimulus, the House members backed the $2,000 paycheck demand but turned down the veto over the defense bill.

The bill is now en-route to the Senate where Republicans are likely to create problems for the smooth passages by citing budget deficit issues.

On the other hand, Australia’s push to the World Health Organization (WHO) inquiry over the covid traces and China’s downbeat Beige Book survey affect market moves amid a quiet session. Additionally, COVID-19 updates suggesting the record high infections in the UK, in contrast to the vaccine optimism, also contribute to direct the sentiment.

While also portraying the mood, stocks in Asia-Pacific remain mildly bid outside China and Indonesia whereas the US 10-year Treasury yields rise one basis point (bp) to 0.94% by press time.

Although a lack of major data/events can join the year-end celebration mood to limit the market moves, any further hurdles to the US stimulus can sour the mood during the North American session.

Also read: Wall Street Close: Bulls cheer Trump’s surprise signing of stimulus amid low volume