Stocks Momentum Halted by the British Virus!

Stocks momentum halted by the British Virus (New variants) and the new U.K. travel bans despite the new relief package’s optimistic expectations and the vaccination efforts. The U.S major Indexes moved between a range of -0.17% to 0.38%. However, The Midcap Index Russel-2000 were up around 1.72% as a weekly gain. The midcap index has gained about 33% since the end of September.  Air T Ink, BRPAU, SENS, ADXN and IZEA shares were the top five weekly gainers in the U.S market.

Most of the significant European benchmark Indexes edged lower this week about -0.11% to -0.41% on new variants of COVID-19 emerged in the United Kingdom resulting most nations banned travel from the U.K.  However, Italy’s FTSE MIB closed higher about 0.7% as a weekly gain. On Thursday, the United Kingdom and the European Union finally reached a Brexit trade deal with just days left until the end of the transition period in the U.K.’s exit from the E.U.

The major Indexes from APAC region edged lower for the week about 0.05% to -0.42% followed by the global market. However, the Korean Index Kospi-100 climbed up about 1.25% as a weekly gain.

Weekly market movement

Underlying_2020-12-28-Stocks Momentum Halted by the British Virus

Gold ended Flat for the week. Oil closed lower about -1.86% as a weekly loss on new travel bans between the U.K and a few other nations.

Bitcoin continued to gain momentum and reached $28k for the first time.  The bitcoins market value now exceeds $500 Billion.

Sentiment Analysis

The below shorts illustrates the news and social media sentiment trend for the week. Stocks Momentum Halted by the British Virus. The new rising directions in the Covid-19 cases in the U.S and most European countries turn the sentiment into the neutral-negative mode for the week. The U.S Consumer confidence has seen a short-term dip, and weekly jobless claims rose unexpectedly.

Looking ahead to 2021, many Wall Street analysts have a favourable view of three equity sectors: energy, healthcare, and information technology.

The European Key Indexes, FTSE MIB and CAC-40 were negative sentiment trends for the week on the new variants Covid spreads. On the other side, Dax-30 and FTSE-100 Indexes turns neutral on the Brexit trade deal has reached an agreement.

In contrast to the U.S and European market, the most APAC benchmark indexes turn in to positive direction in sentiment trend for the week. Nikkei-225, HIS-50, SSE-50 and Nifty Indexes are showing the optimistic sentiment trend. On the other hand, ASX-200 and Kospi-100 Indexes are in neutral mode.

Sentiment Trend Chart

Sentiment Chart_2020-12-28-Stocks Momentum Halted by the British Virus

The following critical economic data refer to  released includes the pending home sales and the Chicago PMI.

Sentiment Values

Sentiment Table_2020-12-Stocks Momentum Halted by the British Virus-28-

Note: The sentiment scores applied as an additional overlay to your existing models to further improve performance.

Buy & Sell Signals

The below table shows the buy/sell signals generated based on InfoTrie’s proprietary Investment/ Trading models. These models developed using technical, fundamental, quantitative techniques and the news-based sentiment score as an additional overlay.

I have tabulated the random signals from several InfoTrie’s Trading/Investment models.

Buy_Sell_2020-12-28-Stocks Momentum Halted by the British Virus

The news sentiment score provides a significant improvement, significant “Alpha” compared to the traditional investment/trading models.

 For more details on the analysis, accessing complete tear sheets or white paper for the models, subscription details for News Sentiment data and other consulting works, please contact us with the information below.

InfoTrie Financial Solutions Pte. Ltd.
Alternative Data, Sentiment Analysis, Financial I.T. and A.I. Consulting

Read our previous blog posts. Want to access our data? Try our API or access our FinSentS platform
Suresh Kumar Ramani +65 9337 6035
Frederic GEORJON +33 (0)6 1304 0600


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