The reversal in markets had a lot to do with the news about Mnuchin and Pelosi resuming fiscal talks.
We have uncertainties about the upcoming Presidential election and seasonally it’s a weak period of time.
Also, thirty percent of the S&P 500 is tech and it was overbought and over-owned.
If we make progress on the fiscal side of things, it will act as a powerful catalyst for stocks to go even higher. With 14 million people unemployed, it’s going to take fiscal stimulus to keep this market going higher.
Democrats are preparing a new, smaller coronavirus relief package expected to cost about $2.4 trillion as they try to restart talks with the Trump administration.
House Speaker Nancy Pelosi and President Trump have both pushed Treasury Secretary Steven Mnuchin and White House chief of staff, Mark Meadows, to boost the administration’s roughly $1.3 trillion offer by another trillion dollars. President Trump told House Republicans to go for a higher amount of stimulus than $1 trillion.
Stephanie Link, HighTower chief investment strategist, joins ‘Closing Bell’ to discuss what she’s watching heading into the market close.