Chip Somodevilla / Getty
- Global shares rose on Monday after US authorities signaled the possibility of a potential coronavirus vaccine ahead of the November presidential election.
- President Trump’s administration is said to be considering the rapid follow-up to an experimental COVID-19 vaccine from the UK ahead of the upcoming elections.
- On Sunday, the U.S. Food and Drug Administration issued an “emergency use authorization” for the use of convalescent plasma to treat COVID-19.
- “Brands were ready to look beyond the president’s geopolitical need to focus on celebrating this moment of progress,” a financial analyst said.
- Visit the Business Insider website for more stories.
Global shares rose Monday after U.S. authorities issued an “emergency use authorization” for the use of blood plasma to treat COVID-19.
The S&P 500 rose 0.8% as investors looked past the growing number of new coronavirus infections in Europe, choosing instead to concentrate on US signals that it could deliver a vaccine soon.
President Trump’s administration is deepening the availability of an experimental COVID-19 vaccine from the United Kingdom for the November 3 presidential election, the Financial Times reported on Sunday.
The vaccine candidate is under development by AstraZeneca in coordination with Oxford University scientists, but falls short of the number of participants normally required for FDA approval.
Read more: UBS analyzes how 900 stocks perform on positive days of COVID-19 vaccine – and concludes that these 17 are about to jump at least 9% on the next cycle of encouraging headers
Trump said the FDA’s approval to use convalescent plasma is a “breakthrough” in coronavirus treatment, although it is not yet clear if the treatment actually works.
“Donald Trump was in danger of undermining sentiment because he re-marked COVID-19 as the ‘China virus’ during the announcement,” said Connor Campbell, a financial analyst at SpreadEx.
“However, the markets were ready to seek the geopolitical need of the president to focus on celebrating this moment of progress.”
Trump’s willingness to deliver a fax for the Nov. 3 election “could be a game changer for the president because he looks set to secure an unlikely second term,” said Craig Erlam, a senior market analyst at OANDA.
Read more: RBC says it buys these 48 stocks that speak to every sector that is ready to crush the market if Donald Trump wins reelection
Analysts said investors will look forward to the Jackson Hole Virtual Jackson Hole Economic Symposium later this week, where central bank chairman Jay Powell is expected to provide new details on the review of monetary policy. ‘e bank.
Jackson Hole is likely to be Powell’s first public speech since the Fed’s policy meeting in late July, when the bank resumed its commitment to using all the tools needed to support the economy.
Here is the call of the market since 2.05 am in London (9.05 am ET):
- Asian indices ended higher with China’s Shanghai Composite up 0.2%, Hong Kong’s Hang Seng up 1.7%, and Japanese Nikkei up 0.3%.
- European equities rose, with German DAX up 2.2%, British FTSE 100 up 1.7%, and Euro Stoxx 50 up 1.9%.
- Futures underlying the Dow Jones Industrial Average, the S&P 500, and the US Tech 100 rose 1%.
- Oil prices rose, with West Texas Intermediate up 0.8% at $ 42, and Brent crude up 1% at $ 45.
- The benchmark 10-year Treasury yield fell to 0.63%.
- Gold rose 0.4% to $ 1,955 per ounce.
Read more: ‘Unintended Harmful Consequences’: A former Wall Street chief strategist said the Fed has driven huge high-end market highs that will come down – and warns Bullish day traders will be useless to stop it
.
