Futures inch higher
U.S. stock markets are expected to open in the green on Tuesday following President Donald Trump announcement on Monday that his administration would start working with Joe Biden’s transition team.
Trump made the announcement on Twitter hours after Michigan certified its election results and Republican lawmakers, along with business leaders, pressured him to begin the transition. He said the General Services Administration (GSA) must “do what needs to be done,” even as he vowed to keep contesting his election loss.
Biden’s team welcomed the start of the transition process as the Democratic president-elect prepares to be sworn in. The team will now have access to federal funds to transition the administration and receive national security briefings.
By 5:50 a.m. ET, the blue-chip Dow futures surged 300 points, or 1.03% to 29,849. Those for the S&P 500 gained 26.88 points, or 0.75% to 3,602.88 while the tech-heavy Nasdaq 100 futures were up 33.87 points, or 0.28% to 11,939.12.
U.S. West Texas Intermediate (WTI) crude futures were at $43.53, up 47 cents, or 1.09% a barrel. International Brent crude futures rose 41 cents, or 0.89% to $46.45 a barrel.
Biden tipped to appoint Janet Yellen as treasury secretary
Meanwhile, multiple media reports say that Biden will name former U.S. Federal Reserve chair Janet Yellen as the next treasury secretary.
The 74-year-old economist was appointed as Fed boss by President Barack Obama in 2014, becoming the first woman to lead the central bank. Her tenure lasted for one term, leaving after Trump replaced her with Jerome Powell in 2018.
If Biden nominates and she is confirmed by the Senate, she will become America’s first woman treasury secretary and take over the management of economic policy during one of the most challenging times in modern history.
When it comes to monetary policy, Yellen has a reputation as a dove due to her focus on reducing unemployment.
Elon Musk becomes world’s second-richest person as Tesla valuation nears $500 billion
Tesla (NASDAQ: TSLA) chief executive Elon Musk on Monday became the second-richest man in the world after he surpassed Bill Gates’ net worth and took his place on the chart.
Musk, 49, is now $128 billion after the market cap of his electric car company soared as high as $498 billion yesterday as it is set to be added to S&P 500 next month.
The rise in his net worth places him behind Amazon (NASDAQ: AMZN) boss Jeff Bezos, who is currently the world’s richest person with a net worth of ABOUT $182 billion. Three-quarters of Musk’s wealth comes from his stake in Tesla.
As of this writing, Tesla shares were indicated $22.35, or 4.28% to $544.20 each in the pre-market trading session Tuesday.
