Weekly Market Commentary
March 12, 2021

Positive Virus News

The Markets

No matter what your gene sequence looks like, vaccines can help fight the virus. So far, all of the vaccines available in the United States have proven to be effective in preventing hospitalization and death from coronavirus, according to the Centers for Disease Control (CDC).

We saw the economic effect of accelerating vaccinations last week when the number of new jobs created in February exceeded expectations. The Bureau of Labor Statistics reported there were 379,000 new jobs, primarily in the leisure and hospitality sector, which was hard hit by the virus and lockdowns.

The Economist reported, “…there is a strong case for optimism. The experience of places such as New Zealand and Australia is that once the threat of coronavirus has passed, people are keener than ever on being out and about. Meanwhile, the vaccine roll-out continues to accelerate…The Senate is considering another $1.9trn in stimulus, including [checks] of $1,400 to most Americans. The job market has been deeply wounded. But there are growing reasons to hope that it might heal rapidly.”

Positive U.S. labor market news inspired a rally on Friday; however, earlier in the week, concerns about rising Treasury rates pushed U.S. stock markets lower. Much like last year this will probably be another year of the headline stories moving the market at times.

Focus On The Positive

“If this country is ever demoralized, it will come from trying to live without work.” –Abraham Lincoln, 16th U.S. President