Economics
Wall Street Analysts See Better Chance for Stimulus Breakthrough
- Diagnosis quickly shifted political environment, Evercore says
- News is nothing to panic over, according to Jefferies
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President Donald Trump’s positive Covid-19 test may help bring investors the main thing they’ve been looking for to rekindle the stock market rally: a fresh stimulus package.
While Trump’s diagnosis brought turmoil to Washington and the campaign trail, analysts on Friday said it has led to a greater likelihood Congress and the White House will reach a deal on pandemic relief before the election, which may help support equities. The S&P 500 Index, down 6% from its Sept. 2 record, has swung widely in recent weeks as investors assessed the odds of an agreement on another round of support to prop up an economy still struggling to recover from lockdowns and unemployment.