Stock markets hit records on Monday on news that a second coronavirus vaccine showed positive results. The Pharmaceutical company Modera says that its vaccine appears to be 94.5% effective according to the preliminary data. The hopes for a new vaccine by Moderna brought good times to financial markets too.
Moderna became the second pharmaceutical company to tout progress toward developing an effective vaccine against COVID-19. The Dow ended Monday up 471 points or 1.6% and has now close to 30,000 points for the first time in history. Pfizer also said last week that a vaccine it developed incorporating a German drugmaker BioNTech was more than 90% effective against COVID-19. Medical experts claim that these developments in vaccines suggest that drugs can be an effective way to fight Coronavirus.
The S&P 500 gained 42 points, or 1.2%, to close at 3,627 as the broad-based index carried its momentum from last week to push deeper into record terrain. The Dow also notched a new record, jumping 471 points, or 1.6%, to end at 29,950. The tech-heavy Nasdaq rose 0.8%.
Moderna shares added $6.39, or more than 7%, and have risen 47% this year. The president of Moderna’s, Dr. Stephan Hoge said, “ we welcome the really important milestone but having similar results from two different companies is what’s most reassuring. That should give us all hope that actually a vaccine is going to be able to stop this pandemic and hopefully get us back to our lives.”
More than 11 million coronavirus cases have been confirmed in the United States. On Sunday, the country reported 166,222 new cases with 1266 new deaths. Former Surgeon General Vivek Murthy told, “If we just lock down the entire country without targeting our efforts, then we are going to exacerbate the ‘pandemic fatigue’ people are feeling, you’re going to hurt jobs and the economy, you’re going to shut down schools and hurt the education of our children”. A
s the COVID-19 casesa are urging in the USA daily, the development of vaccines will provide hope for every citizen. Moderna pharmaceutical company said that it expects to have roughly 20 million doses of its vaccine ready to ship in the United States by the end of this year. The company is on track to manufacture 500 million to 1 billion doses globally in 2021, it added. The head of the world health organization quoted that “a vaccine will complement the other tools we have, not replace them. A vaccine on its own will not end the pandemic”.
Pfizer also said that it expects to have 50 million vaccines globally this year and 1.3 billion in 2021. “there is finally light at the end of the tunnel. Forget the fact President Trump has refused to concede defeat in the US election, or that Europe and the US remain gripped by new waves of the virus, or that another key Brexit deadline has passed and a ‘no deal’ exit is edging closer.
Markets are focused on the increasing likelihood of a vaccine breakthrough,” said Neil Shearing, group chief economist at Capital Economics. Investors and other business men were also in anxiety by comments from two advisors of President-elect Joe Biden who said no nationwide lockdowns were being contemplated in response to the prevailing pandemic.