Weekly changes: SPX500 +6.20%
The SPX500 climbed to another record level of 3,880 making its best week since November as every major group rose, except the technology group. The number of Non-farm payrolls increased by 49,000. The modest job growth highlighted a persistently difficult outlook for millions of unemployed Americans.
KEY POINTS
Weak economic data on Friday shows the risk that President Biden will push for stimulus without Republican support.
An additional stimulus package contributes to the Fed's accommodative policies, and progress in vaccine distribution will support consumer spending, which makes 70% of the U.S. GDP.
Although stocks in SPX500 continue to grow, they have done so within a very congested price range. The daily chart shows some technical issues, such as negative divergence between the price on one side and the RSI and the MACD on the other side, which may be a signal for a future downwards correction.
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