Investors eye vaccine news and earnings

Any progress in hunt for treatment will impact market heavily, analysts say

With another round of earnings picking up steam, investors will keep an eye out for any lasting effects from the pandemic, along with news of any progress on any potential vaccine

Falling on global investors’ radar is the world’s largest economy beginning to debate about a new trillion dollar plus stimulus package that would address how much government aid can be availed.

against Covid-19. On Wall Street and markets elsewhere, earnings season is in full swing, and dozens of companies report in the week ahead, including corporate giants like Microsoft, Intel, American Express, Tesla and Twitter.

Analysts however said any news of progress on the vaccine front will paint the market more than the top- and bottom-line results companies are scheduled to post next week, which are largely expected to come in better-than-expected as most economies reopened for business post-lockdowns.

Also falling on global investors’ radar is the world’s largest economy beginning to debate about a new trillion dollar plus stimulus package that would address how much government aid can be availed in the current situation where new infections are rising.

Outlook still uncertain

“Going forward, the outlook remains uncertain as the resurgence in new Covid-19 cases could possibility slowdown the global economic recovery,” said Iyad Abu Hweij, managing director at Allied Investments Partners PJSC. Strategists said the market could react to the deliberations if they take longer than expected, or the funds are viewed as insufficient.