Search This Blog

Wednesday, September 30, 2020

McConnell: Sides still 'far apart' in COVID relief talks

Update: 3:14 p.m. ET Steve Mnuchin says there's still no agreement on a stimulus deal.

Senate Majority Leader Mitch McConnell says both sides are "far apart" on a fiscal stimulus deal, denting earlier hopes negotiations were progressing.

The broader market immediately pared gains after the news, with the S&P falling 0.7%.

This morning Treasury Secretary Steve Mnuchin said he should know if the administration has an "overall understanding" with Democrats on a new fiscal stimulus package by Thursday, adding he was "hopeful".

Mnuchin's comments added some juice to a modestly higher market, leading to a broad-based rally as cash moved to stimulus-sensitive sectors like Consumer Discretionary (NYSEARCA:XLY) and Industrials (NYSEARCA:XLI).

Now, defensive sectors Consumer Staples (NYSEARCA:XLP) and Health Care (NYSEARCA:XLV) are in the lead and Industrials have turned negative.

The S&P had been trading at its highs of the day just before McConnell spoke.

https://seekingalpha.com/news/3618560-mcconnell-says-sides-still-far-apart-in-covid-relief-talks-stocks-pare-gains

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.