Shares of renewable-energy stocks had a great start to the week, with a few popping double digits in trading on Monday. Enphase Energy (NASDAQ: ENPH) was up as much as 8.3%, Bloom Energy (NYSE: BE) rose up to 11.1%, and SolarEdge (NASDAQ: SEDG) increased 8.7% late in the day. Shares of the three stocks were up 6.1%, 11.4%, and 8.6% respectively at the market’s close.
To put these moves into perspective, the S&P 500 and Dow Jones Industrial Average were up 1.6% and 1.5% respectively and the Nasdaq was up 1.9% today. The fact that oil is up 0.8% is a bit of a boost for renewable energy stocks as well.
The big news today is that Congress and the White House are set to resume stimulus talks once again. The talks collapsed when the Senate and White House balked at a $3 trillion-plus stimulus package from the House of Representatives and early indications are that the current round of negotiations will be near that number. Reporting from multiple news outlets puts the package House Democrats will advance at about $2.4 trillion. If there’s anywhere near that amount of money going into the system it’ll be a boost for markets.
Renewable-energy stocks not only usually exaggerate the market’s moves because they’re more volatile in general, accounting for some of the move today, they have a lot to gain from a stimulus package led by the House of Representatives. We don’t know the details of the negotiations yet, but House Democrats are friendly to renewable energy, so funds to boost investment in the industry