Dow climbs 215 points as investors find hope in latest stimulus negotiations
- US stocks rallied on Monday as investors bet on the distribution of Pfizer's COVID-19 vaccine and stimulus progress to lift the economy.
- A bipartisan $908 billion stimulus proposal is set to be formally unveiled on Monday.
- Reuters reported that the bill would be split into two packages: one with $748 billion in funds for highly supported measures, and a smaller package with more controversial measures like aid for state and local governments and liability protections for businesses.
- US deliveries of Pfizer and BioNTech's coronavirus vaccine began on Monday, marking a major step forward in fighting the pandemic.
- Oil prices ticked higher after a tanker exploded in a Saudi Arabian port. West Texas Intermediate crude gained as much as 1.9%, to $47.44 per barrel.
- Watch major indexes update live here.
US stocks gained on Monday as investors cheered the rollout of Pfizer's COVID-19 vaccine in the US and plans to bring a stimulus deal to a vote.
The language of a bipartisan $908 billion relief package is set to be introduced as early as Monday, and Congress is aiming to pass a government funding bill before the week is out.
The relief package will be split into two measures, a source familiar with the matter told Reuters. A $748 billion proposal will have funds for strongly supposed programs, such as small-business aid and expanded unemployment benefits. A separate measure will have aid for state and local governments and liability protections for businesses, critical sticking points that have held back a relief package for weeks.
"There's no way, no way that we are going to leave Washington without taking care of the emergency needs of our people," Democratic Sen. Joe Manchin told Fox News on Sunday.
Here's where US indexes stood shortly after the 9:30 a.m. ET market open on Monday:
- S&P 500: 12,504.39, up 0.8%
- Dow Jones industrial average: 30,261.23, up 0.7% (215 points)
- Nasdaq composite: 12,504.39, up 1%
Index futures gained early Monday as the first doses of Pfizer and BioNTech's COVID-19 vaccine were delivered in the US. Regulators on Friday approved the vaccine for emergency use, marking a major step forward in fighting the pandemic.
The US Food and Drug Administration is also set to begin evaluating Moderna's vaccine this week, setting the stage for an emergency use authorization before the end of the year.
Stocks last week posted their first weekly loss since early November. The threat of a government shutdown and rising coronavirus cases dragged equities lower on Friday.
AstraZeneca slid after agreeing to buy Alexion Pharmaceuticals for $39 billion.
Virgin Galactic tumbled after canceling its first manned test flight because of a failed rocket ignition. Shares had gained in recent sessions amid rising hopes for the test.
Bitcoin reached a 24-hour high of $19,371.79. The cryptocurrency has wavered at about the $19,000 level after soaring close to a record high of nearly $20,000 earlier this month.
Gold fell as much as 1.1%, to $1,818.90 per ounce. The US dollar weakened against all Group-of-10 currency peers, and Treasury yields rose.
Oil prices climbed after a tanker exploded in a Saudi Arabian port. West Texas Intermediate crude gained as much as 1.9%, to $47.44 per barrel. Brent crude, oil's international benchmark, rose 1.7%, to $50.80 per barrel, at intraday highs.
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