A Market Supported By Great Expectations

What’s in Today’s Report:

• A Market Supported by Great Expectations
• Weekly Market Preview:  Earnings, Coronavirus and Polls are key this week.
• Weekly Economic Cheat Sheet:  How Resilient is the Recovery?

Futures are down about 1% following a continued surge in coronavirus cases in the U.S. and Europe over the weekend, combined with disappointing earnings.

There were new records set in the U.S. and Europe for new daily coronavirus infections, increasing concerns about future growth-restricting lockdowns.

Tech giant SAP cut guidance and the stock is down 20%, which is weighing on the broad market.  SAP sighted coronavirus lockdowns as a reason for the guidance cut.

Today there is only one economic report, New Home Sales (E: 1.016M), and no Fed speakers.  Additionally, any hopes of a last-minute stimulus deal before the election seem to have been extinguished, although we still might get the “progress” or “positive” jawboning regarding the still on-going discussions.