US stocks fall as virus reasserts itself

The S&P 500 fell 1.2 percent on Thursday as investors sold large high-tech companies.

With the US now reporting a total of 3.9 million COVID-19 cases and 143,000 deaths, Michael Stritch, chief investment officer at BMO Wealth Management, said that “the virus has reasserted itself” and markets are likely to remain “aggressively flat”.

Bill Callahan, investment strategist at Schroder Investment Management, appears more optimistic.

“Washington and the Fed continue to push money into the system. And if the economy stays weak, then bonds and defensives will do quite well,” he said. “If cases slow down and the economy recovers, you’re going to see explosive moves higher in more cyclical equities and commodities.”