Investors rank potential complications with the mass vaccination efforts as the top concern for global financial markets next year. Capital market point to the likelihood of the virus mutating, possible serious side effects of the vaccine, or the possibility of many people refusing to take it.
- Investors also worry about basic hiccups in vaccinations, including syringe shortages, supply-chain challenges, and the need to administer follow-up booster shots.
- Investors also see cyberattacks as an ever-present threat in 2021 after Microsoft Corp., along with other 18,000 companies and “critical infrastructure” in the U.S, was under SolarWinds attack this year.
- The pandemic stocks could still worsen before the crisis is over, with current balance sheets of developed economies now approaching wartime conditions.
- Investors are betting on the Federal Reserve’s reassurances, keeping the rates near 0% and maintaining a massive bond-buying program to support stocks.
- Some investors still see U.S economic growth surpassing expectations as people move beyond the “emotional destruction” of 2020
- The U.S. presidential transition and the effectiveness of relief packages passed by Congress are also key events investors are keen on.
U.S stocks are currently mixed. SPY is up 0.39%, QQQ is down 0.0032% on premarket.
