US equities extended a two-month old rally, the S&P500 up 1.7% on the day, for a total 36% gain since late March. Risk currencies and commodities followed suit, but bond yields are slightly lower.

US equities and bond yields were little changed for much of the overnight session, but fell into the close on reports downplaying the previous day’s vaccine news. The S&P500 is down 1.1%. Risky currencies still managed to outperform the safe-havens.

Sentiment was boosted by news of a new virus vaccine. The S&P500 is up 3.3%, following 5% gains in Europe. Bond yields and risky currencies are higher.

US and European equities closed slightly higher, the S&P500 up 0.4%. Escalating tensions between the US and China appeared to contain sentiment. Bond yields rose slightly, while risky currencies underperformed.

The mood improved during the US session, the S&P500 recovering from an initial fall to be up 1.2%. Bond yields and risk currencies partly followed suit. US officials said Pres. Trump was open to further economic rescue measures.

Markets remained in risk averse mode, as Fed Chair Powell delivered a dour economic outlook, and US-China tensions intensified. The S&P500 fell 1.8%, European equities earlier down 2.6%. The defensive US dollar is firmer, while bond yields are slightly lower.

The mood switched to a risk averse one during the US session, the S&P500 down 1.5% and US bond yields lower. US inflation data was slightly disappointing, and second Covid wave concerns persisted. US health official Fauci warned that premature opening could be harmful to the economy.

US equity markets continued to advance, but at a slower pace, the S&P500 up 0.3%. European equities earlier fell 1.2% on concerns over a second Covid wave, as well as the ECB/German court conflict. Bond yields rose, while commodities and risky currencies fell.

Global equity markets advanced further, the S&P500 up 1.7%. US job losses in April were no worse than expected, and markets are optimistic about a return towards normality. Bond yields, commodities, and the AUD and NZD all rose, consistent with the risk-seeking theme.

Equity markets were upbeat amid indications US-China trade talks would resume and Japan approved antiviral drug remdesivir. The S&P500 is up 1.2%, following similar gains in Europe. The AUD and NZD performed well, while US bond yields fell – some to record lows.