If nothing special, the markets were still broadly upbeat on Tuesday, lingering vaccine optimism joined by a significant step forward in ending 2020’s election saga.
After much delay the General Services Administration has signalled that Joe Biden and his team can begin the formal transition process ahead of January’s inauguration, a move that Donald Trump gave his approval despite insisting he will continue with his unfounded claims of voter fraud in order to overturn the result.
The key thing for the markets is that the smoother the transition, the easier it will be in theory for the new administration to hit the ground running in January – vitally needed given the out-of-control American covid-19 situation, and the planning needed for a nationwide vaccine rollout.
The sense of optimism helped lift the FTSE – which largely missed out on growth yesterday due to sterling strength – 0.4% higher, once again pushing it to 6,375. The DAX, meanwhile, added the same amount, returning to 13,225, with the CAC jumping 0.7% to 5,535.
As for the Dow Jones, it is heading for a 250 point increase this afternoon. That’d lead it back to 29,850, once again putting 30,000 within reach (though in a week curtailed by Thanksgiving).
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