Markets Celebrate as Covid-19 End May be Near; Tech Sits This One Out
Investing.com
Published Nov 09, 2020 04:05PM ET
By Christiana Sciaudone
Investing.com -- Markets soared in the U.S. as a potential vaccine promises a post-Covid life. Tech missed the boat.
Pfizer (NYSE:PFE) said its Covid-19 vaccine is 90% effective at preventing infection, and investors threw an airline-cruise-leisure party in response.
The Dow Jones Industrial Average rose 835 points, or 2.95%, while the S&P 500 was up 1.15% and the Nasdaq Composite fell 1.5%.
Pfizer and partner Biontech Se (NASDAQ:BNTX) will seek regulatory approval for the vaccine by the end of November. The company said it could manufacture and distribute 1.3 billion doses by the end of next year.
President-elect Joe Biden nonetheless warned that the U.S. is facing a “dark winter” with infections soaring in the U.S. and abroad, and the vaccine not yet approved by regulators.
Travel and leisure stocks rallied, with AMC Entertainment (NYSE:AMC) soaring 50%, Carnival (NYSE:CUK) Corporation up 39% and Six Flags (NYSE:SIX) up 18%, as the vaccine promises to be a ticket to ride. Airlines also soared, with JetBlue Airways (NASDAQ:JBLU) Corp up 21% and Spirit Airlines (NYSE:SAVE) Inc rising 21%.
Stay-at-home winners turned into losers, with Zoom Video Communications (NASDAQ:ZM) Inc tumbling 17% and Peloton (NASDAQ:PTON) down 20%, days after reporting strong demand for its bikes.
In non-vaccine related news, Beyond Meat (NASDAQ:BYND) was temporarily halted after McDonald's (NYSE:MCD) said it was developing a proprietary plant-based product. But then Beyond Meat came out and said, in fact, it is co-creating the McPlant patties, reversing losses.
Biogen (NASDAQ:BIIB) tumbled 30% after the U.S. Food and Drug Administration voted against its experimental Alzheimer's treatment.
Tech stocks sat out the rally, with Apple (NASDAQ:AAPL) to Netflix (NASDAQ:NFLX) falling.
Monday also marked the first trading day after Joe Biden was projected as the United States of America's 46th president.
Gold melted down on the vaccine news, sinking some 5% at one point. Oil jumped almost 10% on hopes the economy will be making a comeback as governments are expected to let us out again upon vaccination.
Get The News You Want
Written By: Investing.com
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.