We believe that interest rates, fiscal stimulus and the vaccine rollouts may all signal stronger GDP growth in 2021 lifting stocks and hurting bond returns.
Financial markets ended the year strongly. News of a vaccine, a national election and further stimulus all contributed to investment optimism about an economy being reopened and confidence in new leadership.
Vident Financial Q3 Review: Financial markets were mostly positive and volatile during the third quarter. Pandemic news along with the upcoming election created different versions of the future. The off and on-again fiscal stimulus talks along with the Federal Reserve responses added to the uncertainty.