Only a Matter of Time… That’s how NYC Mayor de Blasio described the inevitable rollback of indoor dining in the city that he said this morning is likely coming in the next 2-3 weeks. At this point in the Covid resurgence investors know that more restrictions on the way, yet the fact that it’s also only a matter of time before an approved vaccine is distributed is keeping stocks seesawing near all-time highs. Today’s action has seen the lockdown fears weigh slightly heavier than vaccine hope, with futures mostly in the red even before weekly jobless claims rose for the first time in 5 weeks. Still the damage was limited and the S&P has just now broken into the green even as investors grapple with what to do next. The tech-heavy Nasdaq has been positive for most of the day as the scales tip slightly back in favor of pandemic winners (Software/Semis outperforming). Oddly though Energy is also near the top of the sector table despite crude prices trading lower amid the virus outlook (the again the space is -38% ytd). With earnings winding down it feels like this lockdown / vaccine debate is going to carry us through the end of the year (as the stimulus front remains quiet). That could mean more relatively dull days like this one, which some may welcome the way 2020 has played out…
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