Friday’s session saw a rebound in energy that I’m not prepared to chase, but other actions in the session inform today’s early action and perhaps set the tone for the entire week. Technology took a break, the bigger names remained on the move and are poised to move higher at the open. Moreover, with Analog Devices (ADI) taking over Maxim (MXIM), semiconductors could fetch a bid on hopes of industry consolidation.
S&P 500 Index
Communication Services XLC
Consumer Discretionary XLY
Consumer Staples XLP
Health Care XLV
Real Estate XLRE
News from Pfizer (PFE) and Biontech (BNTX) have received FDA’s ‘Fast Track' approval for two Covid-19 vaccines and will begin manufacturing them to have 100 million doses by the end of the year helped the board market, but put strong bids in for those industries facing the most difficult challenges.
Cruise ship operators and airline shares posted strong gains on Friday and look to open with gusto this morning, too.
Royal Caribbean Cruises
Norwegian Cruise Line
We added a new position in Consumer Staples on Friday.
The Dow and S&P 500 continue to move closer toward key breakout points that could propel them to retest pre-coronavirus highs.
The S&P cleared a big hurdle last week and now needs to close above 3,232 to begin its move to reclaim 3,393.