The S&P 500 tested a new high of 4,086.23 yesterday but dipped to 4,073.94 by the close. Given that the US stock market looks poised to extend the uptrend, more record-setting highs could be in the cards. At this point, buyers are targeting 4,100.
Market sentiment is running high as the White House’s new initiative for the next stimulus package has not run into political resistance, and no one is particularly concerned about the ways and means for funding such large-scale plans.
The main trigger for continued buying is the dynamic pace of coronavirus vaccinations and the subsequent easing of pandemic containment measures. This, in turn, will give impetus to the recovery of business activity, employment, and manufacturing.