After a cheerful start, the American stock exchanges continued on Monday to tighten intermediate records for the Dow and S&P500. Investors on Wall Street were very pleased with positive vaccine news from Pharmaceutical Moderna. In addition, markets processed a series of favourable macroeconomic figures from China and Japan and news of a major trade pact in the Asian region.
The Dow-Jonesindex rose 1.5% to an intermediate peak of 29,931 points around half past six (Dutch time). The wide S&P 500 plus 1.1% on an intraday record stand of 3626 points. Technology gauge Nasdaq won 0.8% at 11,918 points, just below the peak from early September.
According to preliminary research results, a Moderna coronavaccin is 94.5 percent effective in preventing infection. This is considered to be very hopeful news in the financial markets for companies that are severely affected by the coronacrisis. The Moderna share got almost 12 percent.
The gaze also remains focused on the United States. United States President Donald Trump appeared on Twitter for the first time to gently admit that his rival Joe Biden won the election. Trump added, however, that Bidens victory is the result of fraud committed in the US polling.
The troubled political situation also has consequences for the economy, some economists fear. For example, a “distributed Washington” and a growing number of coronavirus infections in the US put a brake on economic recovery in the fourth quarter of 2020 and early 2021, according
to experts from bond investor Pimco. Delta Air Lines, American Airlines and Southwest Airlines won 3.2 percent, while Carnival, Royal Caribbean Cruises and Norwegian Cruise Line climbed to 7 percent.
The companies also attracted attention to meat worker Tyson Foods (plus 0.9 percent), the Chinese webshop JD.com (plus 5.6 percent) and mattress vendor Casper Sleep (minus 18 percent), each of whom gave a look at the books.
In addition, DIY chain Home Depot (plus 1.1 percent) announced to take over the distributor of construction products HD Supply for more than 9 billion dollars. HD Supply shot up more than 24 percent.
PNC Financial Services (plus 2.9 percent) also came up with inheritance news. The Spanish bank BBVA sells its operations in the United States to this American industry partner for nearly 12 billion dollars.
Supermarket group Walmart just turned off activities. Most of the stake in the Japanese chain Seiyo is sold to investor KKR and Japanese electronics vendor Rakuten. The deal was converted into 1.6 billion dollars. Walmart went up 0.6 percent.