DAILY MORNING CHAI

The S&P 500 futures trade 18 points, or 0.5%, above fair value following yesterday's record-setting advances for the large-cap indices. The path of least resistance remains to the upside amid a lack of new negative catalysts. In macro-related news, the House passed a bill to increase the $600 stimulus checks to $2000 with a vote of 275-134 (44 Republicans voted in favor), which was expected, but reports indicate that it's still unlikely to pass in the Senate. The market will keep tabs on this situation for any change of heart among Senate Republicans. Today's economic data will be limited to the S&P Case-Shiller Home Price Index for October (Briefing.com consensus 6.9%) at 9:00 a.m. ET. Separately, Boeing's (BA 218.78, +2.69, +1.2%) 737 MAX is scheduled to return to flight for the first time since March 2019 after a lengthy period of ensuring its safety. American Airlines (AAL 16.24, +0.18, +1.1%) is expected to fly the aircraft this morning. U.S. Treasuries...

The S&P 500 futures trade 25 points, or 0.7%, above fair value at around the 3720 level after President Trump signed the $900 billion stimulus and omnibus bill that funds the government through Sept. 30. The House will vote today to raise stimulus checks to $2000, but it's not likely to get 60 votes needed to pass in the Senate, which means the stimulus checks will remain at $600 for now. Recall, the stimulus/funding bills were originally passed by Congress last week, but President Trump wavered in signing it because he wanted $2000 stimulus checks. Separately, holiday retail sales excluding automotive and gasoline increased 3.0% yr/yr this expanded holiday season (Oct. 11-Dec. 24) with online sales up 49.0% compared to 2019. No other economic data will be released today. U.S. Treasuries have edged lower, pushing yields higher. The 2-yr yield is up one basis point to 0.13%, and the 10-yr yield is up two basis points to 0.96%. The U.S. Dollar Index is little changed at 90.29....

 The S&P 500 futures trade seven points, or 0.2%, above fair value on this Christmas Eve session, which will end early at 1:00 p.m. ET. The benchmark index is down 0.5% for the week, versus a 1.9% gain in the Russell 2000. Today also marks the start of a calendar effect in the market known as the Santa Claus rally in which stocks tend to rise from the last five trading days of December through the first two trading days of January. As the saying goes, though, past performance is not indicative of future results. Trading volume could be lighter than usual with many market participants checked out for the holiday, and other markets closed entirely, which could lead to some noticeable intraday price action. With that said, intraday dips tend to be bought, as investors don't want to feel excluded from this raging bull market, especially at a seasonally bullish time of the year. In other developments, the UK and EU are reportedly expected to confirm a Brexit deal today, while there ...

 The S&P 500 futures trade 26 points, or 0.7%, above fair value following four straight modest declines in the benchmark index. The gains appear evenly distributed across the futures tied to the major indices, which remain near record territory. Investors, meanwhile, continue to assess the slow grind of stimulus talks in Washington and the latest corporate news. Apple (AAPL 123.78, +2.02, +1.7%) is providing influential support for the futures market after it told suppliers that it's aiming to increase iPhone production by 30% in the first half of 2021, according to the Nikkei. Separately, the FDA confirmed that Moderna's (MRNA 154.82, -0.25, -0.2%) vaccine is highly effective in preventing COVID-19 at least 14 days after the second dose. The administration will likely authorize the vaccine for emergency use later this week. On the data front, investors will receive the Empire State Manufacturing Survey for December (Briefing.com consensus 6.0) and Export and Import Prices ...

 The S&P 500 futures trade five points, or 0.1%, above fair value following yesterday's record closes in the benchmark index, Nasdaq Composite, and Russell 2000. Stimulus developments have been of interest this morning. Briefly, Treasury Secretary Mnuchin offered a new $916 billion stimulus bill that includes $600 direct payments to Americans but no enhanced unemployment benefits. The bill is slightly larger than the $908 billion bipartisan bill that excludes direct payments but includes unemployment relief. Democratic Congressional leadership called it progress, according to Bloomberg, but reiterated the need for unemployment relief and said talking points should still be focused on the bipartisan plan. They also shot down Senate Majority Leader McConnell's suggestion of leaving out funding for state and local governments. When the market opens for trading, attention will divert back to equities for the DoorDash (DASH) IPO, which priced shares at $102.00 for a $38.7 billio...