Stock futures picked up a major boost on Monday, along with oil, after positive news from Pfizer on a COVID-19 vaccine and after Joe Biden was named president-elect over the weekend.
OVERVIEW OF THE FUTURE OF SCHOLARSHIPS
Dow futures contracts rose nearly 1,700 points, a gain of over 6%. The S&P 500 also rose 4.5% at the start of trading, while the high tech Nasdaq Composite rose 1%.
The gains will likely bring US averages closer to record highs.
|IS: DJI||MEDIUM DOW JONES||28323,4||-66,78||-0,24%|
|I: COMP||INDEX COMPOSITE NASDAQ||11895.229592||+4,30||+ 0,04%|
PFIZER COVID-19 VACCINE IS 90% EFFECTIVE IN LATEST TRIALS
Traders are responding positively to the news that Pfizer and BioNTech’s COVID-19 vaccine was found to be 90% effective in the first 94 patients it was tested on. The shares rose in the pre-market. While Moderna, also working on a vaccine, has drifted lower.
|PFE||PFIZER INC.||36,40||+0,01||+ 0,03%|
|RNAm||MODERNA INC.||72,45||+0,97||+ 1,36%|
“Today is a great day for science and humanity. The first set of results from our Phase 3 COVID-19 vaccine trial provide initial evidence of our vaccine’s ability to prevent COVID-19, ”said Pfizer CEO and President Dr. Albert Bourla in a statement. “We are reaching this crucial milestone in our vaccine development program at a time when the world needs it most, with infection rates setting new records, hospitals close to overcapacity and economies struggling to reopen.” With today’s news, we are one step closer to providing people around the world with a much needed breakthrough to help end this global health crisis. ”
This is a milestone in the fight against a virus that has infected more than 50 million people around the world, resulting in more than 1.2 million deaths.
TRUMP & BIDEN REACT
President Trump, in a tweet, celebrated the developments.
While President-elect Joe Biden said in a statement:
“I congratulate the brilliant women and men who helped make this breakthrough and give us such a cause for hope. At the same time, it is also important to understand that the end of the battle against COVID-19 is still months away… ”
Airlines and cruise lines have rallied to the move, while home stocks including Zoom, Amazon have slipped.
|AAL||AMERICAN AIRLINES GROUP INC.||11,46||-0,14||-1,21%|
|FROM||DELTA AIR LINES INC.||31,42||-0,56||-1,75%|
|RCL||ROYAL CARIBBEAN CRUISES||58,57||-1,60||-2,66%|
|ZOOM||n / a||n / a||n / a||n / a|
|AMZN||AMAZON.COM INC.||3 311,37||-10,63||-0,32%|
Oil jumps on vaccine news
Oil is also back above the $ 40 a barrel level on vaccine hopes.
|USE||UNITED STATES OIL FUND LP||26,47||-0,69||-2,54%|
STOCKS END MIXED AS S&P HAS THE BEST POST-ELECTION WEEK SINCE 1932
The news comes after Joe Biden and Kamala Harris were named president-elect and vice-president-elect respectively, after several media outlets, including Fox News, projected that the Biden campaign had won the state of Nevada and the Commonwealth of Pennsylvania, giving them the required 270 electoral votes.
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On the earnings front, McDonald’s said third-quarter profits were better than expected, with comparable store sales in the United States rising 4.6%, helped by several new initiatives.
|MCD||MCDONALD’S CORP.||216,56||+0,25||+ 0,12%|
Shares were higher in pre-market trades.
|OXY||WESTERN PETROLEUM CORPORATION||10.01||-0,46||-4,39%|
|SPG||SIMON PROPERTY GROUP INC.||61,86||-1,61||-2,54%|
|BYND||BEYOND MEAT INC.||156,86||-0,18||-0,11%|
Over the weekend, Warren Buffett’s Berkshire Hathaway said its third quarter operating results were negatively affected by the pandemic, even as the company’s stock portfolio surged.
|BRKB||n / a||n / a||n / a||n / a|
On Monday, traders will see quarterly results for Occidental Petroleum, Simon Property Group and Beyond Meat, among others.
Almost nine in ten S&P 500 companies said third quarter earnings and revenue were better than expected.
OTHER MARKETS ALSO HIGHER
In other commodities, gold continued to advance above $ 1,959 per ounce.
European indices were also higher on Monday, with the STOXX Europe 600 rising 1.3%. Similar gains were seen in the German DAX, the French CAC 40 and the UK FTSE 100.
Stocks had their best post-election week since 1932 last week, as the Dow Jones Market Data Group shows, rising 7.23%, the second best on record.
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