By Liz Moyer
Investing.com -- After touching highs once again on Wednesday, stocks turned into red as Congress played Lucy with the stimulus football once again.
Lawmakers put the ball in play, only to yank it away. Senate Majority Leader Mitch McConnell snubbed the White House's $916 billion proposal and said his proposal for a skinny relief bill was brushed off by Democrats.
The Federal Trade Commission sued to break up Facebook Inc (NASDAQ:FB), sending its shares down.
On Thursday, the Food and Drug Administration is expected to meet on an Emergency Use Authorization application by Pfizer Inc (NYSE:PFE) and BioNTech SE (NASDAQ:BNTX) on their promising Covid-19 vaccination.
Here are three things that could affect the markets tomorrow:
1. All eyes on the FDA as it meets over Pfizer vaccine
Stocks have been wavering for weeks, driven higher by optimism that the vaccine is soon in hand but at times pummeled by fears the U.S. is being overtaken by a powerful second wave of the virus.
FDA approval for emergency use of Pfizer’s vaccine could mean the beginning of a vaccination program as early as next week. People in the U.K. have already started getting the shots this week. Comfort that an effective vaccine is being delivered could be welcome to markets and send the major indexes to all new highs.
That said, Congress still needs to act on a stimulus bill before lawmakers head home for the holiday break. And Republicans continue to fight the election outcome in court, refusing to acknowledge the win by President-elect Joe Biden.
2. Earnings continue to trickle in
Costco Wholesale Corp (NASDAQ:COST) is expected to report earnings per share of $2.02 on revenue of $41.7 billion, and Broadcom Inc (NASDAQ:AVGO) is seen with EPS of $6.24 on revenue of $6.43 billion.
Lululemon Athletica Inc (NASDAQ:LULU), also a beneficiary of stay at home orders encouraging people to wear comfortable clothing and exercise in their living rooms, is expected to report EPS of 86 cents on profit of just over $1 billion.
3. It’s Airbnb Day
If Doordash Inc (NYSE:DASH)’s IPO on Wednesday is any guide, Airbnb’s debut is setting up to be spectacular. The food delivery app soared when it started trading, nearly doubling from its $102 IPO price, set Tuesday night.
Reports indicate home-sharing site Airbnb is going to price above its already raised range when things are settled later today. At the high end of its range, it would have a market value of roughly that of Marriott International Inc (NASDAQ:MAR), the world’s largest hotel chain.