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4:15 pm: Record highs everywhere, including small caps

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The DJIA ended Monday up 238 points, 0.8%, at 31,386, hitting a new record high and notching a six-day winning streak, its first since August.

The S&P 500 gained 29 points, 0.7%, to 3,916, also a record, and the Nasdaq Composite jumped 131 points, 1%, to 11,988, including an intraday high.

Small-cap stocks have also been surging. The Russell 2000 index improved 7.7% last week, its best week since June, and gained another 2.2% Monday to a record close of 2,289.

12:15 pm: Multiple indices hit new high marks

The Dow was up 132 points, 0.4%, to 31,281 at midday. The Nasdaq Composite gained 66 points, 0.5%, to 13,923, and the S&P 500 picked up 13 points, 0.3%, to 3,890. The latter index broke 3,900 for the first time during morning trading, and the Dow Jones also reached a record high.

'Stock markets are showing modest gains this afternoon as dealers are hopeful the Biden administration will sign off on the $1.9 trillion relief package as a way of stimulating the US economy,' CMC Markets UK analyst David Madden wrote Monday. 'At the back end of last week it was revealed that Democratic politicians set in motion a plan to implement the proposed $1.9 trillion spending plan without support from Republicans... Janet Yellen, the US treasury secretary, predicts the $1.9 trillion spending programme will bring about full employment by the end of 2022.'

Yellen has urged US lawmakers to get a relief bill passed quickly, and both the Senate and the House passed a budget resolution on Friday, which begins the process that would allow Democrats to pass the bill without Republican support.

10:02 am: Proactive North America headlines:

NexTech AR Solutions Corp (NEO:NTAR) (CSE:NTAR) (OTCQB:NEXCF) integrates AI-fueled chat features into its virtual experience platform

Karora Resources Inc (TSE:KRR) (OTCMKTS:KRRGF) (FRA:5RN1) announces “strong” initial gold drill results from Lake Cowan in Western Australia

Algernon Pharmaceuticals Inc (CSE:AGN) (OTCQB:AGNPF) (FRA:AGW) inks deal with Charles River Laboratories for preclinical work on DMT for stroke

Loop Insights Inc (CVE:MTRX) (OTCQB:RACMF) to provide its venue management platform to Canadian ski resort in four-year, potentially C$9.6M deal

PharmaDrug Inc (CSE:BUZZ) (OTCPINK:LMLLF) appoints world-renowned chemist and neuroscientist Dr Steven Barker to its scientific advisory board for psychedelic pharmaceuticals

GR Silver Mining says latest results from Plomosas silver project continue to show potential for district-scale mineralization

Victory Square Technologies Inc (CSE:VST) (OTCMKTS:VSQTF) (FRA:6F6) portfolio company GameOn Entertainment appoints new chairman

BTU Metals Corp (CVE:BTU) (OTCMKTS:BTUMF) kicks off 3,500 metre drill program at Dixie Halo in Red Lake

Aurania Resources Ltd (CVE:ARU) (OTCQB:AUIAF) (FRA:20Q) identifies initial drill sites at flagship Lost Cities - Cutucu project in Ecuador

Real Luck Group Ltd (CVE:LUCK) appoints former Electronic Arts executive Thomas Rosander as its Chief Customer Officer

9:41 am: Wall Street shares open in green

The main Wall Street indices opened in the green on Monday morning as traders looked optimistically towards more US stimulus to boost the American economy.

Shortly after the opening bell, the Dow Jones Industrial Average was up 0.49% at 31,302, while the S&P 500 climbed 0.41% to 3,902 and the Nasdaq rose 0.43% to 13,915.

One stock among the early risers was Tesla Inc (NASDAQ:TSLA), which jumped 2.8% to US$875.25 after unveiling that it has bought US$1.5bn worth of Bitcoin. The price of cryptocurrency also surged on the news, up 13.3% in a 24-hour period at US$43,455 at around 9.35am Eastern Time.

Meanwhile, fellow tech giant Apple Inc (NASDAQ:AAPL) dropped 1% to US$135.36 after its plans to make an autonomous electric car took a hit following an announcement from South Korea’s Hyundai Motor Co which said it is no longer in talks with Apple about the project.

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8:05 am: Wall Street to start on bullish note

Wall Street is set to start in a bullish mood on Monday as traders have an extra spring in their step thanks to hopes about President Biden’s stimulus package.

Just under two hours ahead of the opening bell, the main US stock indices are all seen rising, meaning new all-time highs could be notched up.

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Spread-betters IG expect the Dow Jones Industrial Average to start up 126 points, while the S&P 500 is forecast to rise 12.5 points and the Nasdaq is predicted to jump 48 points.

“The reflation trade continues at the start of the new week, on expectations of more US stimulus, ongoing central bank support, and of course hopes that the ongoing COVID vaccine roll outs will reduce infections further and hopefully economies will re-open again in the not-too-distant future,” said market analyst Fawad Razaqzada at ThinkMarkets.

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“So, stocks remain on the front-foot with many global indices hitting records or multi-year highs, and Brent Crude Oil has climbed above $60 a barrel for this first time in more than a year on hopes over stronger recovery in demand”, he added.

Five things to watch for on Monday:

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  • Companies that may be of interest in the earnings diary include video game developer Take-Two Interactive Software Inc (NASDAQ:TTWO), education technology group Chegg Inc (NYSE:CHGG) and investment firm Loews Corp (NYSE:L)
  • Meanwhile, shares in board game and toy maker Hasbro Inc (NASDAQ:HAS) will be in focus after the company reported earnings data that saw both profits and revenues beat expectations
  • Casino operator Wynn Resorts Ltd (NASDAQ:WYNN) may also be eyed after it announced plans for a public share offering that could be worth just over US$640 million
  • Oil prices are also an area of attention after prices of a barrel of Brent crude surpassed US$60 for the first time in over a year
  • On the macro front, things are relatively quiet, however US consumer inflation expectations for January may attract some interest