First Prime-Time Televised Address

President Biden made his first prime-time televised address to the nation last night. Hot on the heels of signing his $1.9 trillion fiscal stimulus package into law, the president made the address to mark the one-year anniversary of the World Health Organisation declaring COVID a pandemic.

May 1st & July 4th Key Dates

During the address Biden announced that he will be directing all states and territories to ensure that all adults are eligible to be vaccinated no later than May 1st. The president went on to clarify that this doesn’t mean they will be vaccinated by that date but will be able to “get in line” to receive their vaccination. Biden then continued saying that if US citizens continued to social distance, to wear masks and to receive the vaccination, July 4th (Independence Day) would be the new target for a return to normalcy. Biden told the nation: "After this long hard year, that will make this Independence Day something truly special where we not only mark our independence as a nation but begin to mark our independence from this virus."

More Military Support For Vaccination Effort

As part of the effort to ensure vaccinations are delivered on schedule, the administration announced it will be deploying 4000 active-service military personnel across the country and will be increasing the number of community health centers, pharmacies and other locations that can administer the vaccine.

Caution Ahead

However, despite his overarching optimism, Biden was keen to temper his message with caution, warning the US that “Conditions can change. The scientists have made clear that things may get worse again. As new variants of the virus spread, we've got work to do to ensure that everyone has confidence in the safety and effectiveness of all three vaccines."

Calls for Unity

The president rounded off his comments by calling for unity. He condemned the recent spate of attacks on Asian Americans who have been blamed by white supremacists for the virus and also called for Americans in general to stop turning on one another and look forward together.

Recovery Hopes

With the $1.9 trillion stimulus package now signed into law, Americans will begin receiving the $1,400 direct stimulus cheques which are expected to significantly boost spending and economic activity considering the boost that was seen from the $600 cheques in January. With this in mind, equities shave been rallying firmly again as the Dollar turned lower.

Technical Views

S&P500

Following the recovery above the rising trend line, the rally in the S&P this week has seen price trading back up to retest the 3964.25 level. The level is continuing to hold as resistance for now and with momentum studies flagging bearish divergence, there is the risk of a double top forming here unless we see a quick continuation higher.

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