Global stocks hit record high

26 November, 2020 12:00 AM printer

TOKYO: World shares rallied to a record peak on Wednesday, following an overnight surge that saw the Dow Jones benchmark crack 30,000 for the first time as investors cheered a dramatically improved global outlook.

The formal start of U.S. president-elect Joe Biden’s transition to the White House and increasing confidence a COVID-19 vaccine would be ready soon ushered in renewed appetite for global shares, report agencies.

After weeks of waiting, President Donald Trump’s administration on Monday cleared the way for Biden to prepare for the start of his administration, giving him access to briefings and funding. “The main thing now is that it has become official that the Biden administration will start. And we have ample liquidity from the world’s central banks,” said Norihiro Fujito, chief investment strategist at Mitsubishi UFJ Morgan Stanley Securities.

“I expect the honeymoon between financial markets and the Biden administration and stocks’ bull trend could continue until around his inauguration in January,” he said, adding reality checks could follow, once he will be sworn in.


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