Continued Positive Trends In US, Earnings Strength Continues Array ( [cookie] => 38bc7a-aa3424-337639-f96d2b-e9393b [current_usage] => 2 [max_usage] => 2 [current_usage_crypto] => 2 [max_usage_crypto] => 2 [lock] => 1 [message] => [error] => [active_member] => 0 [subscriber] => 0 [role] => [visitor_id] => 207711 [user_id] => [reason] => [method] => ) 1 and can accesss
In the past week, incoming news in the US was overall very positive. COVID-19 cases are legging down, apparently due to higher vaccine penetration. And the US economy is on track for a strong revival and full reopening by mid-2021. Earnings seasons is so far affirming this trajectory. Good news has continued to proliferate on the case front, the vaccination front, and the re-opening front. Perhaps the most salient example this week is NY Governor Cuomo’s announcement that NYC is likely to see full re-opening by July 1st.
The best evidence for the progress in the US is the continuing substantial “leg down” in daily cases. The &D delta has been negative in the past 16 days! In the past few days, the decline has been at a stable -8k to -10k per day. If this decline persists, we could see the daily cases drop sub-20k by mid-May. But this is positive progress in the US has been achieved largely by vaccine penetration, more so than behavior modification. This is something that healthcare experts like Dr. Gottlieb also spoke about.


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Thomas J. Lee
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