A light at the end of the covid tunnel
It was a week that brought significant news on multiple fronts, including the announcement of an effective coronavirus vaccine and a troubling end to the marathon American presidential election cycle.
Covid fatigue is spreading faster than the virus and even in the relative bastion of Australia I know many of us are dreaming of global travel and a complete return to normalcy. Christmas is only six weeks away (if you can believe it).
The world finally got some positive news this week when a Pfizer and BioNTech backed vaccine showed promising early results with an efficacy rate of over 90 per cent and no major safety issues observed at an interim analysis, triggered a wave of hope and optimism.
The market reacted immediately with the companies and sectors most impacted by disruptions to economic activity moving higher on the news while the covid rally darlings headed south. Emma Rapaport explored the impact on stocks across the energy, entertainment and travel sectors and dives deep into bank earnings.
As the covid-rally continues to reach new heights, Peter Warnes encourages investors to enjoy the market upswing while keeping an eagle eye on valuations. Record low interest rates are making life challenging for income investors. Peter shares his thoughts on opportunities for income in his video interview with Lex Hall.
As an unapologetic supporter of self-directed investors and a true believer that all it takes to create a better financial future is an interest in learning and a bit of effort, I was in complete agreement with director of SMSF and investor behaviour at nab Gemma Dale’s defence of retail investors in her interview with Graham Hand.
Over the weekend we woke to the news that Joe Biden had crossed the electoral college threshold to become the President-elect of the United States. While there is one very famous holdout to the results, Morningstar’s Senior Securities Analyst Dave Sekera ruminated on what investors can expect from a Biden presidency.
One of the major factors that put Biden over the top was his strength with women. In our upcoming webinar on Tuesday we explore the unique challenges that face female investors and how to overcome them. Register for the session here.
Lex Hall will be back from his well-deserved leave to bring you his superior wordsmanship next Saturday. Before turning the keys back over to Lex, I am taking the opportunity for a shameless bit of self promotion. Our latest episode of Morningstar’s new podcast came out yesterday and I would love if you took a listen.
