What the New COVID Variant Means for the Rally (So Far)

What’s in Today’s Report:

• What the New COVID Variant Means for the Rally (So Far)

Futures are sharply lower on concerns about a new COVID variant discovered in South Africa.

A new COVID variant discovered in South Africa has multiple new mutations and the WHO has called its discovery “concerning.”

Several countries have stopped flights from countries in Africa, and the discovery of the variant is only compounding worries about more COVID lockdowns.

There are no economic reports today and the NYSE closes at 1:00 p.m. ET.

Regarding the new COVID variant, clearly this is something to watch closely but COVID variants only become real risks to the rally if they can breakthrough a vaccine or render therapeutics ineffective, and there has been no research out so far that implies that’s the case with his new South African COVID variant.  In the near term, though, it’ll exacerbate COVID lockdowns/restrictions concerns, which is the real reason stocks are lower and the lack of liquidity on the Friday after Thanksgiving is only making the market reaction more intense.