US stocks dip as post-election rally begins to tire

December 08, 2020: Wall Street stocks dipped early Tuesday as a post-election equity rally showed signs of fatigue while investors monitored rising coronavirus cases and progress on vaccines.

About 25 minutes into trading, the Dow Jones Industrial Average was down 0.1 percent at 30,044.36.

The broad-based S&P 500 shed 0.2 percent to 3,684.26, while the tech rich Nasdaq Composite Index shed 0.3 percent to 12,481.87.

All three major indices have powered to records in recent sessions on optimism that an economic rebound awaits in 2021 and coronavirus vaccines will be widely available.

There was more positive vaccine news on Tuesday, with US regulators saying there were “no specific safety concerns” with the Pfizer-BioNTech Covid-19 vaccine.

But investors are “leaning on the idea of the market being ripe for a consolidation period,” said analyst Patrick O'Hare.

Markets are also awaiting details on a potential new US relief package following congressional talks that have resumed in recent days.

Among individual shares, Tesla fell 1.9 percent as it announced plans to raise up to $5 billion in new equity in a big capital-raising push after its 2020 surge in value.

Apple dipped 0.1 percent as it unveiled the “AirPods Max” deluxe noise-cancelling headphones priced from a whopping $549. The tech giant also said it will launch “Apple Fitness +” later this month.


Posted on: 2020-12-08T23:15:00+05:00