Dow surges more than 800 points after promising vaccine results

Disclaimer

Dow’s futures jumped nearly 1,500 points before the market open as Pfizer and BioNtech announced that they have positive trial results with 90% effectiveness on the COVID-19 vaccine.

The stocks from the cruise line, energy, airlines, and financial sectors surge up to 39%, while technology companies that prosper during pandemic drop nearly 21%.

Dow Jones Industrial Average had a strong rally gaining 800 to 1600 points throughout the session, ended at 834.57 points or 2.95% gain, and closed at 29,157.97 at the end of the trading day.

This was a few points away from an all-time high of 29,398.08 on February 14, 2020, before the COVID-19 outbreak.

The S&P 500 hit a new all-time high and closed at 3,550.50 with a 1.17% gain. The Russell 2000 index that measures the small-cap stocks gained 3.7%. The volatility index was dropping from last week’s spike and closed at 25.75. 

Nasdaq 100 drops 2.16% or 260.96 points closing at 11,830.38. This shows that the technology stocks that prosper during the pandemic are taking the beat as the economy recovers from the pandemic lockdown.

The technology stocks carried the overall index’s weight and brought down Dow Jones and S&P 500 from the higher future price before the market open.

Read more: Will the big pharma, oil, and financial outperform tech giants in earnings this week?