Stocks Boosted by Lack of Bad News. Why That May Not Last.

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Pfizer cuts sales outlook for Covid-19 products, the House heads for another speaker vote as Jordan builds momentum, and other news to start your day.

The S&P 500 climbed 1.1%—the best start to a week since February, according to Deutsche Bank data. Such a happy Monday seems out of kilter with the global mood right now, particularly given events in Israel and Gaza.

The risks haven’t gone away, and the next bout of bad news may be just around the corner. But the move does point to the path of least resistance being higher for stocks. Stock market cheer at a time like this might seem odd, and could well be a blip. But the resilience is welcome even if its longevity cannot be guaranteed.*** Join Barron’s associate editor for technology Eric Savitz today at noon when he speaks with Evercore ISI stock analyst Amit Daryanani on the outlook for hardware stocks. Sign up here.

What’s Next: Republicans are under pressure to elect a Speaker to avoid having to strike an agreement with Democrats on a coalition leader, the Journal reported. House GOP members want to press ahead on passing 12 or so 2023 fiscal appropriations bills.*** Ericsson Drops Guidance. That Could Be Bad for AT&T. Swedish telecommunications firm Ericsson decided not to offer any guidance beyond the fourth quarter, sending shares lower in European trading.

 

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