Live stock market news: December 27, 2021

The S&P 500 hit an intraday high at Monday’s open, gaining 1% as US stocks rose after the holiday weekend, keeping pace on a strong start to the typically bullish end of the year known by the investors under the name Rallye du Père Noël. .

All three major indexes were up ahead of a quiet final week of 2021 amid falling trading volumes and light economic and corporate calendars. The S&P and Nasdaq each rose more than 1% at noon, while the Dow Jones jumped 230 points.

“I’m actually very bullish about the market,” Sylvia Jablonski, co-founder and CIO of Defiance Investments, told Yahoo Finance Live. “There is little liquidity in the markets this week, but we are finishing quite strong. I would expect next year to be even better. ”

The S&P surge built on recent momentum after the index announced its 68th year-end closing record on Thursday, a strong day for markets, supported by positive data suggesting the Omicron variant was less likely to lead to hospitalizations. The indices have recovered from the losses after the recent volatility as the market assessed the impact of the virus on the economy.

Investors will tune in to see if Thursday’s gains maintain momentum for the year-end Santa Claus rally, in which stocks climb higher in the last seven trading days of the year. year, as well as the first two trading days of the new year.

For unclear reasons, over the past 92 years, the S&P 500 has gained 77% of the time during the year-end rally period, according to data from Sundial Capital Research. The average gain during this nine-day trading period reached 2.66%.

The market will head into 2022 with several key considerations to weigh, but with a primary focus on how the pandemic evolves and mounting inflationary pressures as well as what actions the Federal Reserve may take in response.

“Inflation and Omicron are the two most important catalysts for the stock market right now,” APAC CEO at Qraft Technologies, Francis Oh, told Yahoo Finance. “I think these catalysts are being taken into account by the volatility of the market… I still think the market will move away cautiously.”

Merck (MRK) received clearance from the United States Food and Drug Administration for its home drug COVID-19 last week, just a day after Pfizer (PFE) was also approved for the use of its own treatment.

The pill developed by Merck in collaboration with Ridgeback Biotherapeutics, called molnupiravir, has been shown to reduce hospitalizations and deaths by about 30% in clinical trial data. The Pfizer pill has been reported to be 90% effective in preventing hospitalizations and death in high risk patients.

“One of the ways that pandemics end is a significant mutation in the virus. It seems Omicron is our friend in this regard, significant mutations different enough from parenting that they don’t make people so sick, ”True Health Initiative president Dr. David Katz told Yahoo Finance Live.

Investors processed a slew of economic publications ahead of the holiday weekend.

The Ministry of Labor reported that the first jobless claims totaled 205,000, supporting a downtrend from the peaks of their pandemic peak and reflecting labor market tension brought on by demand for workers as the new year approaches. The latest impression brings the four-week moving average of new claims to its lowest level in 52 years, rising 2,750 week-over-week to 206,250.

Meanwhile, consumer prices in the United States have accelerated at the fastest rate in nearly four decades as shoppers face rising levels of inflation ahead of the holidays.

“Workers have a lot of power, and that will likely lead to continued wage increases,” Girard chief investment officer Timothy Chubb told Yahoo Finance. “What worries us from an inflation point of view is when do we potentially see some of these inflation risks shifting to the job market? “

Meanwhile, US new home sales in November jumped 12.4% to a seven-month high of 744,000, supported by low mortgage rates and higher demand in the housing sector.

US durable goods orders rose 2.5% in November, up from the previous month, boosted by a sharp increase in aircraft orders.

“We said it was definitely a down buying market as we expect further earnings improvements,” Anik Sen, global head of equities at PineBridge Investments told Yahoo Finance Live. . “We believe the real debate should be about the length and strength of the business cycle ahead.”

2:28 p.m. ET: Fauci says US should implement vaccine mandate for domestic travel

The nation’s top infectious disease expert Dr Anthony Fauci said the United States should “seriously” consider requiring COVID-19 vaccines for domestic flights in a Monday morning appearance on “Morning Joe “from MSNBC.

“When you make vaccination a requirement, it is another incentive to get more people vaccinated,” he said. “If you want to do this with domestic flights, I think this is something that should be seriously considered.”

The statement comes as the recent surge caused by Omicron is causing flight cancellations across the country, mostly due to staff shortages caused by the virus. More than 1,000 US flights were canceled at 1 p.m. ET on Monday, according to Bloomberg.

Airlines shares remained in the red at midday, with American Airlines (AAL) down 0.58% to $ 18.16 per share, United Airlines (UAL) down 0.89% to $ 44.47 a piece and Delta Air Lines (DAL) down 0.98% to trade at $ 38.92 a share.

“If stocks are down, now is the time to buy,” Debbie Boyd, CEO of DLB ​​Financial Services, told Yahoo Finance Live as she discussed airlines. “Think of these stocks going down as on sale.”

12:17 p.m. ET: Markets are on the rise during intraday trading

Here’s how the stocks traded during the noon ET session:

  • S&P 500 (^ GSPC): +48.18 (+1.02%) to 4,773.97

  • Dow (^ DJI): +230.93 (+ 0.64%) to 36,181.49

  • Nasdaq (^ IXIC): +174.28 (+ 1.11%) to 15,827.65

  • Raw (CL = F): + $ 1.99 (+ 2.70%) to $ 75.78 per barrel

  • Gold (CG = F): – $ 1.20 (-0.07%) to $ 1,810.50 per ounce

  • 10-year cash flow (^ TNX): -1.2 bps for a yield of 1.4810%

11:41 a.m. ET: Tesla climbs to biggest four-day gain since March

Tesla shares jumped 3.52% to $ 1,104.55 apiece, leading most of its EV peers and approaching the company’s best four-day earnings streak since March.

Among the other stocks in the sector, Lucid Group (LCID) gained 1.30% in intraday trading at $ 38.13 per share, Nikola (NKLA) was flat, trading at around $ 11.09 apiece, and Canoo (GOEV) was down 2.64% to $ 8.28 per share. . Rivian (RVN) rose 5.73% to $ 102.39 per share.

9:53 a.m. ET: Airlines’ inventories drop after cancellations weekend

Travel stocks in the United States collapsed at the start of trading after major airlines reported hundreds of cancellations and delays due to staff shortages caused by a slight increase in COVID-19 cases among crews and personnel.

More than 2,800 flights were disrupted over Christmas weekend, due to the latest coronavirus wave and inclement weather caused by a winter storm in the northwest of the country.

American Airlines (AAL) fell -2.70% to $ 17.77 per share when the market opened. United Airlines (UAL) and Delta Air Lines (DAL) each fell 2% to $ 44.01 and $ 38.47 per share, respectively.

Cruise ship operators have also been hit, along with Carnival Corp. (CCL) down 3.5% to $ 20.45 per share, Royal Caribbean Cruises (RCL) down 3.1% to $ 77.07 per share and Norwegian Cruise Line Holdings (NCLH) down 4 , 14% to $ 21.78 per share.

9:30 a.m. ET: Markets open higher ahead of final trading week of 2021

Here are the main movements at the start of the ET trading session:

  • S&P 500 (^ GSPC): +11.51 (+ 0.24%) to 4,737.30

  • Dow (^ DJI): +61.77 (+ 0.17%) to 36,012.33

  • Nasdaq (^ IXIC): +131.47 (+ 0.85%) to 15,653.37

  • Raw (CL = F): – $ 0.25 (-0.34%) to $ 73.54 per barrel

  • Gold (CG = F): – $ 1.50 (-0.08%) to $ 1,810.20 per ounce

  • 10-year cash flow (^ TNX): -1.2 bps for a yield of 1.4810%

7:10 a.m. ET: Futures rise after Christmas weekend

  • S&P 500 Futures Contracts (ES = F): +8.00 (+ 0.17%), at 4,723.75

  • Dow Futures (YM = F): +13.00 points (+ 0.04%), at 35,845.00

  • Nasdaq Futures (NQ = F): +39.50 points (+ 0.24%) to 16,338.50

  • Raw (CL = F): $ -1.07 (-1.45%) to $ 72.72 per barrel

  • Gold (CG = F): – $ 4.80 (-0.26%) to $ 1,806.90 per ounce

  • 10-year cash flow (^ TNX): -0.09 bps for a yield of -0.07%

Alexandra Semenova is a reporter for Yahoo Finance. Follow her on twitter @alexandraandnyc

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