Market Month: November 2020
Concern over a surge in COVID-19 cases drove equities lower last Monday. Each of the major indexes listed here fell, with the Dow plunging -2.3% and the S&P 500 (-1.9%) suffering its biggest one-day decline in a month. The losses could have been much worse had it not been for some encouraging words from House Speaker Nancy Pelosi on a fiscal stimulus deal. Nevertheless, an acceleration in COVID-19 cases coupled with the delay in fiscal stimulus was not a favorable combination of events for stocks. China's plan to sanction major companies over arms sales to Taiwan added to the market's slide. Each of the major market sectors took a hit with energy, communication services, financials, industrials, and information technology each sinking more than 2.0%. The dollar and Treasury yields rose, while crude oil prices sank.
