Here's what three experts say about the move.
Lisa Shalett, CIO at Morgan Stanley Wealth Management, said the market is watching one factor in the coronavirus numbers.
"I think the point is that so long as the hospitalization rate remains at a level that keeps us away from crisis, I think that both from an economic policy perspective and quite frankly from a human psychology perspective, we've kind of crossed the Rubicon and we're made the decision as a country that we're going to you know persevere and carry on. And so I think that element of the numbers that the market is focused on is just those hospitalization rates, and whether we're bumping up against any constraints in any cities. While the numbers are going up, we're not yet at any of those kind of crisis or overflow situations yet."
David Lebovitz, global market strategist at J.P. Morgan Asset Management, does not see markets retesting March lows.
"Markets are probably going to remain range-bound here until we see some sort of significant breakthrough either on the medical front or on the economic front. I also think it's important to recognize that the market has essentially written off 2020 and is wholly focused on 2021. Part of what gives us a little bit more confidence that we're not necessarily going to retest the lows that we saw in March is really the fact that we have a lot more information today around the virus itself, around what an economic lockdown looks like. And while I wouldn't be surprised to see some sort of pullback here and I think that would create an opportunity across the equity market broadly, I don't think we need to go all the way back down to where we were in the month of March."
Mansco Perry, chief investment officer at the Minnesota State Board of Investment, is investing broadly in the market.
"We don't look at sector by sector. We've been long-term investors and for the most part we buy the market. Domestically, we own the Russell 3000, we do have active managers, but the vast majority of our portfolio is passively managed. Our equity portfolio is passively managed – same on the international side. So we probably have most stocks that are available to us."