Covid vaccine hopes make global stock markets surge

Yesterday, 9 November 2020, after the festivities for Biden’s victory, in the stock market celebrations kept going. In fact, warded off even the slightest doubt of a possible continuation of the legal battle announced by Donald Trump, stock markets breathed a sigh of relief after fearing a prolonged situation of uncertainty. In the morning came the announcement of the US pharmaceutical company, Pfizer, on the excellent results of its vaccine made with the German biotechnology company Biontech, making markets go ecstatic.

The Covid vaccine, developed by the two companies together, and one of the most advanced-stage vaccines, would be 90% effective and could be ready by the end of the year. If the data is confirmed, companies will proceed with the request for authorization to bring it to the market . States still try to be cautious. The new US president Biden said that even if the news on the vaccine is “cause for hope”, “the battle against  covid-19” is still far from being won. Meanwhile, global stock markets roared.  

Milan closed with an increase of 5.43%, London went up by 4.66%, Frankfurt by 4.9%, Paris 7.5% and Madrid by 8.5%. Wall Street also joined the party with the Dow Jones rising by 4%, the S&P500 by 2.9% and the Nasdaq registering +1%. 

News on the vaccine also made petrol prices soar, with WTI gaining more than 10 percentage points, regaining $40 a barrel. As expected, in fact, the hope of going back to normality upset the trend in stock market. Along with petrol, aviation and transport sectors rose. Boeing shares surged, but also those of American Airlines, Delta and United Airlines. Air-France KLM rose over 27%, Airbus in Paris earns 18%. And still Lufthansa in Frankfurt climbed 19.8%, as did Ryanair and Easyjet which recorded respectively +13.6% and +35.5%. The London-based jet engine manufacturer Rolls Royce scores more than +30%. Cruise travel giant Carnival Crop is also registering a boom.

All those stocks that had benefited from lockdown and smartworking fell instead. The price of stocks such as Zoom, the app used for videoconferencing, marks -16%. Amazon and Netflix closed with -4% and -9.13%. The apparel e-commerce company, Zalando, also loses 9.5%. Obviously the stars of the day are Pfizer which registers +7.06% at a price of $38.97 and Biontech that marks a jump, on Nasqak, of 15.86% at $106.60.

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