US stock markets were in positive territory on Monday's trading. The rally was so good that the Nasdaq Composite managed to break a new closing record. The high dynamics of the index was primarily due to the increase in the capitalization of the largest companies in the technology sector.
The Dow Jones Industrial Average ended the trading session with a slight increase by 0.03% or 8.92 points, which moved it to the level of 26,680.87 points.
The Standard & Poor's 500 index rose by 0.84% or 27.11 points, and so far stopped at the level of 3,251.84 points.
The Nasdaq Composite Index showed outstanding results increasing by 2.51% or 263.90 points, which made it the leader and allowed it to be at around 10,767.09 points. This growth has become the best since mid-spring of this year. The last time the index achieved such success was when it broke another record for a daily rise on April 29 this year. However, at the end of Monday's session, this record was updated and became the 28th in a row only for the current year.
The main wave of positive on the stock markets comes amid news about the creation and imminent release of a potential vaccine for coronavirus infection. In addition, investors hope that the package of stimulating measures for economic development in the United States of America, as well as in Europe, will be expanded again against the backdrop of the ongoing pandemic.
The results of the succeeding trials of the COVID-19 vaccine, which are being conducted jointly by the University of Oxford and the AstraZeneca corporation, were announced on Monday. According to the latest data, during the use of this vaccine, an active immune response of the body to the virus was revealed. This means that by September this year, the drug can be fully ready for mass production and use.
However, the US is not the only one who is actively working on the creation of a vaccine against coronavirus. German corporation BioNTech, backed by US pharmaceutical giant Pfizer, also released on Monday the results of its experimental vaccine, which also inspired the markets.
Market participants continue to monitor the expansion of stimulus measures, which should provide significant support to the global economy. Thus, US President Donald Trump should begin the next phase of negotiations with party representatives on further actions and measures his week that will act as stimuli for the country's economic development. However, there are no details yet, and investors continue to hope that stimulus and soft monetary policy will continue for some time.
Meanwhile, the season of data reporting is not over yet and is only gaining momentum. In the near future, the results of their activities should be made public by such major corporations as Coca-Cola Co., Lockheed Martin Corp., United Airlines Holdings Inc., and others. The preliminary forecasts of experts in this regard are very disappointing. More than 500 of the largest companies in the United States of America are expected to shrink 44% cumulatively in the second quarter of this year. However, while the official data has not been announced, market participants are in no hurry to react negatively to these preliminary estimates.
Asia-Pacific stocks, on the other hand, experienced mainly an upbeat mood on Tuesday: growth was recorded in almost all directions. There is enough positive news which also includes successful trials of a vaccine against coronavirus infection.
At the EU summit, certain results of the protracted work were finally summed up. Thus, the EU President announced the achievement of agreements on the future seven-year budget of the region, which will total to 1.074 trillion euros. It was also possible to break the deadlock in the negotiation process on the creation of a fund for economic recovery from the consequences of the crisis associated with the COVID-19 pandemic. As it became known, the future budget of the organization will be 750 billion euros. This was a good result of the summit, to which market participants immediately reacted.
Japan's Nikkei 225 Index went up by 0.8%. Good statistics encouraged investors, thus, the level of consumer prices excluding fresh food in the country for the first month of summer remained unchanged, although earlier preliminary forecasts indicated its rise by at least 0.1%. Japan's inflation rate was also at a very low 0.1%. No one predicted such a result, especially since this indicator has become the minimum over the past three years.
China's Shanghai Composite index was marked by insignificant, but still growth of 0.1%. The Hang Seng index of Hong Kong is doing much better, which immediately went up by 1.9%. On Monday, the press began to receive reports that the Chinese authorities are planning to organize retaliatory measures aimed at the two largest telecommunications equipment manufacturers from Europe - Nokia Corp. and Ericsson AB - in the event that the EU government decides to ban the activities of the Chinese company Huawei Technologies Co. on the organization of 5G communications on the territory of European states.
South Korea's Kospi index rose by 1.3%.
The Australian S & P / ASX 200 index also went up by 2.6%.