Back to top

View the PFP Archive

Plus 5 New Strong Buys for Today
Kevin Matras   
Profit from the Pros
By Kevin Matras
Executive Vice President
Zacks Investment Research

Stocks Up, But Still Waiting On $2 Trillion Relief Package

Stocks closed mostly higher yesterday, but well off of their intraday highs.

Momentum from Tuesday spilled into Wednesday's session on optimism that the Senate will finally pass their 'Phase 3' coronavirus relief bill, which has ballooned to nearly $2 trillion.

But late in the day, a perceived 'error' was spotted in the bill that would pay workers more money to not work than they would have made if they were working -- thus creating a potential incentive for some to actually get laid off. This derailed the bill's fast track path. But if it can be ironed out, it's expected to pass, where it will then make its way to the House, and then the President's desk.

On a positive note, yesterday was the first back to back up day for the market since the sell-off began. (Although, the Nasdaq just missed out as they were modestly lower yesterday.)

But all of the major indexes have so far seen big bounces from their lowest close on Monday with the Dow gaining as much as 18.43%. By the close however, the Dow 'only' finished up 14.03% from their lowest close.

The S&P bounced as high as 14.93%, before closing up 10.54% from their lowest close.

And the Nasdaq bounced as high as 11.81%, before closing up 7.63% from their lowest close.

I post these numbers because bear market rallies are common. And while there are plenty of great bargains out there, the bear market will not officially be over until it closes up by 20% or more from their lowest close. So keep that in mind.

Hopefully, we'll be able to see the market retest yesterday's intraday highs if the Senate can finally pass that relief package.

Traders will also be watching this morning's Weekly Jobless Claims. We all know they are going to be bad, with some suggesting we could see as many as 10 million new claims. We all know this is temporary and why it's happening. But it won't make it any less shocking to see such a big number, whatever it turns out to be.

We'll also get the final estimate for Q4 '19 GDP. That's expected to remain unchanged from their last estimate of 2.1%. But that's old news and it likely won't mean anything if it comes in as expected or better.

We'll also get Corporate Profits, Retail and Wholesale Inventories, and the Kansas City Fed Manufacturing Index.

But all eyes will be on the coronavirus relief bill and if Congress can finally get its act together and get this done.

In the meantime, the upheavals that the coronavirus outbreak, and subsequent social distancing policies have made clear, is that tech companies will play an even bigger part in our economy and lives than anybody could have ever possibly imagined.

And as these new technological advances come about, it will change the world we live in, and make properly positioned investors rich.

To learn more about the coming tech revolution, be sure to read our latest commentary...

The 4th Revolution: Two-and-a-Half Centuries of Innovation


Kevin Matras

Executive Vice President, Zacks Investment Research


Breakthrough Tech Poised to Generate $12.3 Trillion

Imagine buying Microsoft stock back when people were just starting using PCs to access the internet. Or Amazon in the early days when it built the foundation of the retail juggernaut it is today. Those investments in world-changing companies could have been life-changing for you.

Today, we're looking at a new technology that could transform the world as much as the invention of the internet. Our research shows that 3 stocks could skyrocket as leaders in this space. The potential profits for early investors are staggering.

See the 3 breakthrough stocks now>>

Most Popular Articles from

Image: Bigstock

Coronavirus Drug Development Race to Boost These 4 Stocks

Drug makers are hunting down every possible option to cure and control the destruction caused by COVID-19. Read More »

Image: Bigstock

5 Big Winners on Historic $2 Trillion Coronavirus Stimulus

A sweeping stimulus package designed to curb the economic fallout from the coronavirus-induced public health crisis will certainly help these fundamentally sound stocks stay afloat. Read More »

Image: Bigstock

5 Best-Performing ETFs of Dow's Biggest Rally in 87 Years

After days of relentless slide, the U.S. equity market showed a strong rebound with the Dow Jones rising more than 11%. Read More »

Image: Bigstock

Earnings Estimates Falling Sharply

Earnings growth is now expected to be firmly negative in the first two quarters of 2020, with growth currently expected to be roughly flat in Q3. Read More »

Image: Bigstock

How Stock Investing Can Help You Take Back Control

With uncertainty and anxiety weighing due to the coronavirus, sometimes it helps to be in control of just one thing. Read More »


What's Today's Top Rated Mutual Fund?

Use the Zacks Mutual Fund Rank, a quantitative ratings system designed to help you find the best funds to beat the market. See which ones to buy, which to sell and track your favorite mutual fund family.

Get started now>>

Image: Bigstock

Bull of the Day: Clorox (CLX)

The novel coronavirus is forcing people to clean up their act and Clorox is leading the charge. Read More »

New Zacks Strong Buys for March 26th

Here are 5 stocks added to the Zacks Rank #1 (Strong Buy) List today. Read More »


Download our app for convenient on-the-go access to even more—daily and weekly newsletters published by Zacks experts, proprietary research and tools, and Portfolio Tracker on

Download our Zacks App for Apple iOS
Download our Zacks App for Android

Visit Success Stories to hear how Zacks research, tools and portfolios help our members outperform the market.