People run through the New York Stock Exchange.
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Stock futures traded slightly higher overnight on Monday, following a record-setting rally by promising news about the coronavirus vaccine.
The S&P 500 futures gained 0.2% and the Nasdaq 100 futures rose 0.3%, a 30-point improvement in futures on the Dow Jones Industrial Average.
The rally took place overnight after a huge rally on Wall Street, setting a new intraday record for the Dow and S&P 500. Sector Average stocks rallied more than 100 points earlier, posting their biggest one-day gain since June 5, when the tech sector’s weakness pushed the broader market to more than 1,600 points at one point. The S&P 500 rose 1.2%.
U.S. Pharmaceutical giant Pfizer and German biotech company Bioentek announced on Monday that their coronavirus vaccine is more than 90% effective in preventing Covid-19. The news has sent travel stocks as the recovery of these companies is based on a successful economic opening. American Airlines, Delta and United all jumped more than 15%, while Carnival, Norwegian and Royal Caribbean jumped more than 25%.
LPL “The strong results of the Pfizer vaccine were better than most expected and mean we will be able to reopen sooner than expected,” said Ryan Detrick, chief market strategist at Financial. The stock market is now setting prices in the prospect of a much better economy in ’21. “
While cyclone stocks advanced in the market on Monday, the tech-heavy Nasdaq composite fell 1.5% as investors watched some popular investment-house dramas such as Zoom Video and Netflix. The Nasdaq ended Monday’s session near its session low.
Lindsay Bell, chief investment strategist at Ally Invest, said the “stay at home” trade, which has led the market further for most of this year, could be in favor. “There’s still a good long-term case for tech, but it won’t be able to get ahead in the rest of the market from March.”
News of Pfizer’s major vaccine came as the U.S. topped 10 million cases of Covid-19, a vague milestone just 10 days after reaching a record 9 million amid a daily surge in daily infections. Many on Wall Street believe that a viable vaccine will be crucial for the economy on the path to full recovery.
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