Mixed Picture

Equity markets rose on Monday, climbing even as safe haven gold saw a bumper session. Stocks look set to continue to benefit from goldilocks conditions: expectations of widespread vaccine distribution in 2021, further central bank support, and government aid.

• The U.S. Congress is set to confirm the election of Joe Biden for the next U.S. President this week. Outgoing Pres Trump reiterated his calls for a vote recount in Georgia, while a group of GOP Senators led by Ted Cruz signalled that they will object to the certification of Trump's election defeat. Most expect their initiative to fall flat. The political outlook in the U.S. will remain cloudy at least until after Tuesday's Georgia Senate runoff.
• Asia-Pac equity markets are mostly higher, Japanese bourses are the exception after Prime Minister Suga said he's considering declaring a state of emergency for the Tokyo area for 1 month from Jan. 9 to stem the spread of Covid-19.
• Shares in China and Hong Kong edged higher. Major indices have shrugged off NYSE's decision to delist China's three biggest telecommunication companies (China Mobile, China Telecom, China Unicom HK), even as the companies themselves slid.
• Futures in the US and Europe are flat-to-slightly lower. FTSE 100 futures are the exception after the U.K. announced it is poised to give the first shots of AstraZeneca's vaccine on Monday.