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Goldman Sachs Group AG rose 5.4 per cent to US$285.55 on the New York Stock Exchange and its competitors rose more. Citigroup Inc. shares rose 5.7 per cent to US$65.25 and Bank of America Corp. was up more than six per cent to US$32.16.
Near-term volatility will likely be short-lived and soon overshadowed by expectations for a retreat of the pandemic
UBS Global Wealth Management
“On balance, we think investors should maintain a positive perspective on the outcome (of the Georgia elections),” Mark Haefele, chief investment officer at UBS Global Wealth Management, said in a report.
“Near-term volatility over the prospects of a unified government will likely be short-lived and soon overshadowed by investor expectations for a retreat of the pandemic in the months ahead. We retain a positive longer-term outlook for U.S. equities in general, and cyclicals in particular, as the economic recovery accelerates in the second quarter,” Haefele wrote.
Other big winners Tuesday included renewable electric utilities such as Boralex Inc. and Brookfield Renewable Partners LP and cannabis stocks given expectations that a Democratic Congress could move to legalize recreational marijuana use. On Wednesday, New York Governor Andrew Cuomo announced a proposal to legalize marijuana for recreational use in his populous state.
Canopy Growth Corp. shares jumped 13 per cent, or 4.39, to $38.61 each on the TSX while competitors Aurora Cannabis Inc. was up nine per cent and Cronos Group Inc. rose almost 16 per cent, or $1.51, to $11.08 per share at one stage on Tuesday.
Still, sectors that had laid the gains last year were in retreat on Wednesday.
