Global Market Square
The U.S. and eurozone stock markets returned to their winning ways after two days of losses. As we have mentioned in the past, most investors are performing a stock rotation process towards sectors better positioned to rise from an economy in recovery and away from those sectors that benefited from the pandemic. The market has been in pendulum mode and reacts to COVID-19 surges and sharp increases in economic benchmarks, with asymmetrical data.
According to the Centers for Disease Control and Prevention, not all countries have benefited from a massive vaccination rollout like the United States, which has more than 86.2 million fully vaccinated people, or 26% of the population.
In the east, Asian stock markets are down due to worsening coronavirus trends in India, which saw an 18.51% case increase, while Japan’s cases rose 10.07%. In some of Latin America, such as in Uruguay, cases have risen 33.34%, and Argentina which is experiencing an increase of 11.98%. Meanwhile, Puerto Rico saw a 12.6% increase in the last 14 days.
Another point of contention stateside is President Biden’s infrastructure bill, for which negotiations are in full swing, with Republicans expected to make a $600 billion to $800 billion counteroffer to Biden’s $2 trillion proposal.
We also expect the Republicans to propose a funding source that doesn’t require raising corporate taxes to finance the bill.
Eurozone market summary:
- Stoxx 600 closed at 436.64, up 2.84, or 0.65%.
- FTSE 100 closed at 6,895.29, up 35.42, or 0.65%
- Dax index closed at 15,195.97, up 66.46, or 0.44%.
Wall Street summary for April 21:
- The Dow Jones Industrial Average closed at 34,137.31, up 316.01 points, or 0.93%.
- The Standard & Poor’s 500 closed at 4,173.42, up 38.48 points, or 0.93%.
- The Nasdaq Composite Index closed at 13,950.22, up 163.95 points, or 1.19%.
- The Birling Capital Puerto Rico Stock Index closed at 2,413.29, down 76.41 points, or 3.07%.
- The U.S. Treasury 10-year note closed at 1.57%
- The U.S. Treasury 2-year note closed at 0.15%.