Key aspects:

2021 began with the confirmation of the blue wave in the United States. The surprising Democratic victory in the Georgia Senate elections leaves a majority to Biden and makes
that it has absolute control of both houses, Congress and Senate. Initial market sentiment did not accept such full control by the Biden government in the face of possible
Tax hikes for tech companies, but finally the market reacted positively.
Joe Biden proposes a stimulus plan worth 1.9 trillion dollars that offers a list of measures aimed at helping the United States economy in the process of recovering from the coronavirus pandemic. At the first meeting of the ECB there were no important developments, but the possibility was discussed that the entire purchase program will not be used if it is not necessary (PEPP).
A slight concession to the ECB’s hawkish bias. The month of January has worsened in terms of the rate of infections and deaths caused by COVID-19. The initial vaccination schedule is not being able to be followed as the companies accepted for the distribution of the vaccine are encountering logistical difficulties for their distribution. The last week of January left us with two negative news about COVID-19 vaccines in which Merck suspended the development of its two vaccines due to poor results and Johnson & Johnson announced an efficacy of 60% for its single-dose vaccine.
With all of the above and the strong overbought situation in which the indices were found, the markets corrected during the last five sessions the gains generated during the first three weeks of the year.
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