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Markets hit record highs, McConnell rejects compromise stimulus bill: Here's how the headlines could affect your money

McConnell says he is holding out for a "targeted relief bill" this year.

Senate Majority Leader Mitch McConnell, R-Ky., wears a Washington Nationals face mask on his way to the Senate floor on Tuesday, May 12, 2020.
Tom Williams | CQ-Roll Call | Getty Images

Markets hit record highs, October new job figures are down, and McConnell rejects a compromise stimulus bill. Here's how the headlines could affect your money.

Markets surge

The S&P 500 and Nasdaq saw record closing highs Tuesday. The Dow also had a good day, ending just 1% short of its closing record. Markets dipped slightly in Wednesday morning trading, coming off the previous day's high. 

October new jobs figures are down

According to the monthly ADP report, 307,000 new, nonfarm payroll jobs were created in October. That's lower than analyst estimates and last month's figures. Most were in service industries, which have been hard hit during the pandemic. Over a third were in the leisure and hospitality sectors.

Interestingly, most of the new hires – 249,000, or nearly 5 out of 6 – were made by small- to medium-size businesses.

If you're looking to train for a new career, some fast-growing jobs include marriage counselor, film editor, and data scientist.

Stimulus delay 

Senate Majority Leader Mitch McConnell on Tuesday rejected a proposed $908 billion bipartisan stimulus bill, designed as a stopgap measure to avoid a government shutdown on December 11. Negotiations over a bigger, all-encompassing bill have been stalled since the election. McConnell says he is holding out for a "targeted relief bill" this year.

The $908 billion proposal includes funding for small businesses, an expansion of the Paycheck Protection Program, state and local government relief, and vaccine distribution. It would not include another $1,200 direct payment to most Americans.

Words you've heard: Targeted relief bill

In terms of Congress' stimulus negotiations, the "targeted relief bill" is an alternate name for the $500 billion "skinny bill" the Senate voted down on October 21. The bill seeks to help what Treasury Secretary Steven Mnuchin called "the most difficult parts of the economy," offering small business aid and enhanced unemployment benefits.

Although the daily news can have an impact on your wallet, remember to take a long-term outlook when it comes to decisions on spending, saving, and investing.

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