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The Blue Chip S&P 500 index clocked fresh record highs on the last day of 2020 up 24 points or 0.6% to 3756 with the SPX up 16% for the year. Vaccine optimism, prospects of further fiscal stimulus fueled by easy money and no fear fueled the speculation.

SPX 2020 

American stocks recovered to record highs after the Covid-19 pandemic lockdowns and trade uncertainty.

Risk takers pushed the Standard & Powers 500 index to fresh all times highs on the last day of 2020 as vaccine optimism and the prospects of further fiscal stimulus in the US fueled the mood. The S&P 500 rose 3.7% for December and 16% for the year. After bottoming out in late March, massive action by the Fed and fiscal stimulus nudged stocks dramatically to close the year with record highs.

Probably the best example of the fervent speculation despite the economic shutdowns and over 20 million unemployed in the US was shares of Tesla added to the benchmark S&P index on December 21 rising an astounding 743% on the year.

S&P 500 biggest winners of 2020 included:

20 Best SPX Stocks 2020

How Global Indices fared in 2020

The euro however rallied against the US dollar as massive US QE weakened the dollar and relief that the UK-EU free trade deal had been agreed boosted the euro. The stronger euro helepd attract overseas investors to the US stock market.

EUR W 12 31 2020

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