Day Traders Diary
The major averages gave up their gains with tech shares declining, as traders awaited the unveiling of a potential big economic stimulus package and weighed more positive vaccine news.
The S&P 500 traded just below breakeven, giving up an earlier gain. The Dow Jones Industrial Average was up just 48 points. Earlier in the day, the 30-stock average had gained more than 150 points. The Nasdaq Composite traded just 0.3% higher after rising as much as 0.7% and hitting an all-time high earlier in the day.
Shares of Facebook and Microsoft each fell more than 1%. Amazon, Netflix and Alphabet were also lower on the day.
President-elect Joe Biden is expected on Thursday evening to unveil a stimulus plan that will include a boost to the recent $600 direct payments, an extension of increased unemployment insurance and support for state and local governments. The stimulus could be as big as $2 trillion, CNN reported.
Adam Crisafulli, founder of Vital Knowledge, wrote that $2 trillion for a stimulus package is "about inline w/expectations," noting the market has been rallying recently "thanks to ongoing stability in the 'three pillars' (stimulus, vaccines, and earnings)."
Early trial data published late Wednesday showed that Johnson & Johnson's one-dose coronavirus vaccine is safe and generates a promising immune response.
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