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* Tesla invests $ 1.5 bln in bitcoin; Crypto stock jumps
* Disney, Cisco climb ahead of results this week
* Futures: Dow adds 0.45%, S&P 0.37%, Nasdaq 0.41% (comment, description, update price);
8 February (Reuters) – Wall Street’s main indices were set to hit record highs in the open on Monday, as investors placed risky bets on hopes that a financial stimulus package would lead to a rapid economic recovery.
Oil prices rose to more than a year high, raising Marathon Oil Corp, Shalmber NV, Exxon Mobil Corp, Chevron Corp and Occidental Petroleum Corp by between 1.9% and 1 year.
Last week, the S&P 500 and Nasdaq made their best weekly performance on the best earnings and economic data since the US elections in early November.
US Treasury Secretary Janet Yellen’s comment on Sunday also fueled the notion that if Congress approves the $ 1.9 trillion plan, the country will get full employment next year.
The US Congress on Friday approved a budget plan that would allow a coronovirus relief bill to be introduced in the coming weeks without Republican support.
“$ 1.9 trillion is growing much closer to incentives than lower numbers,” said Jim Besav, chief investment officer at GenTrust in Florida.
“There may be potential drawbacks after the removal of the stimulus package – buy the rumor that sells the fact.”
Advances in vaccination efforts and increased fourth-quarter earnings have helped investors reduce the risk of a short-term pullback in stocks due to elevated valuations and increased coronovirus infections.
Tesla Inc. said that bitcoin has invested approximately $ 1.5 billion in cryptocurrency and will begin accepting payments in bitcoin for its cars and other products.
Tesla shares rose nearly 2%, while cryptocurrency minors Riot Blockchain and Marathon Patent Group rose more than 20–20%.
At 08:33 am ET, the Dow E-minis was up 140 points or 0.45% and the S&P 500 E-minis up 14.25 points or 0.37%. The Nasdaq 100 E-Minister was up 56 points or 0.41%.
The Walt Disney Company, Cisco Systems Inc. and General Motors Company were between 1.6% and 2.8% in this week’s earnings report.
According to data from Refinitiv IBES, the S&P 500 companies were in sharp contrast to the pre-fall forecast to track revenue growth for the fourth quarter.
Hambro Inc. beat analysts’ estimates for quarterly revenue by 2.2% on higher demand for its board games and “Magic: The Gathering” collectible cards. (Reporting by Devik Jain, Shreyashi Sanyal and Medha Singh in Bengaluru; Editing by Saumyadev Chakraborty and Arun Koyur)