Dec 28, 2021 07:22AM ET
By: AnalysisWatch
The S&P 500 and Dow futures hit all-time highs on Tuesday, extending a record-breaking rally on light trading volume as investors tried to factor in the impact of Omicron-related travel disruptions and store closures.
Apple Inc. closed all of its 12 shops in New York City for indoor shopping, becoming the latest company to tighten protocols as the cases swept the United States, causing thousands of flight cancellations for a fourth day on Monday.
Strong trends in consumer demand, however, boosted confidence in the underlying strength of the economy and helped Wall Street rise for a fourth straight day on Monday. The S&P 500 and Nasdaq gained the most in four days since November 2020.
Last week's data showing the Omicron variant is less deadly than previously thought, as well as new pills and vaccines to fight COVID-19, boosted risk appetite and put the three major indexes on course for monthly gains.
The Dow e-minis rose 87 points, or 0.24%, the S & P 500 e-minis rose 12.25 points, or 0.26%, and the Nasdaq 100 e-minis rose at 6:36 a.m. ET by 83.25 points, or 0.5%.
A number of mega-cap companies have joined the recent rally, with Apple Inc. (up slightly in pre-market trading) in close proximity to becoming the first U.S. Company with a $3 trillion market cap.
Tesla Inc. was up 1% in pre-market trading, having gained nearly 22% in the past four sessions.
The markets are in one of their seasonally strong periods, also known as the Santa Claus Rally. According to CFRA Research, the S&P 500 has risen 1.3% on average in the last five trading days of the year and the first two days of the New Year since 1969.
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