Investors are hoping Congress will agree on a new stimulus deal despite unsuccessful negotiations in recent months.
On Sunday, House Speaker Nancy Pelosi told CNN that Democrats in the House could offer their latest stimulus proposal as legislation if the revived talks with the Trump administration don’t produce a deal her party can back up.
The approaching end of the month could be another reason why stocks are higher. After a bad month in the market, investors almost always need to buy a few shares eventually, unless they decide they want to be less invested than before, said Sebastien Galy, Nordea̵
But that doesn’t mean the concerns that have pushed stocks lower in recent weeks have faded.
The upcoming elections, the uncertainty about the future path of Covid-19, fears about the increase in infections in the winter and a slowdown in the economic recovery have weighed on the market for weeks.
The coming week will also be particularly busy with economic data and political events.
President Donald Trump and Democratic presidential candidate Joe Biden face off on Tuesday in the first of three debates, and on Friday the September employment report – the last look at the employment situation before the election – comes out on Friday.