S&P 500 hits file excessive, breaks above 3,700 for first time as Pfizer begins UK vaccine rollout
Shares rose Tuesday, recovering small losses from earlier in the day when Pfizer began rolling out its coronavirus vaccine in the UK
The S&P 500 rose 0.3% to a record high. It was also the first time the S&P 500 traded above 3,700. The Nasdaq Composite was also at an all-time high, up 0.2%. The Dow Jones Industrial Average rose 139 points, or 0.5%.
Pfizer stock gained more than 3%, its highest level in more than a year. BioNTech, which co-developed the vaccine with Pfizer, increased inventory by 1.8%.
Britain ordered enough vaccine for 20 million of its residents to start. In the US, the Food and Drug Administration said the vaccine provided some protection after the first dose. The FDA also said it did not find any safety concerns with the vaccine.
The Pfizer BioNTech vaccine came as dealers kept an eye on negotiations on additional fiscal incentives as the U.S. coronavirus number continued to rise.
Republican and Democratic leaders said Monday that Congress is trying to extend state funding for another week to try to reach an agreement on the new Covid-19 aid. The news came after a bipartisan group of senators tabled a $ 908 billion stimulus proposal last week.
“The news from DC that talks on fiscal stimulus have resumed is also a positive development (although this might all be hats, not beasts, until a deal actually gets past the president’s desk),” wrote Willie Delwiche, investment strategist at Baird. “These headlines come at a critical time as we remain in a challenging time from both a health and an economic perspective.”
Calls for a new relief bill to be enforced before the end of the year has risen recently as U.S. employment growth continues to slow and the number of Covid-19 cases continues to rise.
“We were hoping for a while that a fiscal stimulus agreement would be reached,” said Tom Martin, senior portfolio manager at GLOBALT. “But there are still profound problems that are preventing a deal from coming about.”
Right now. The market “steps on water,” he said.
According to the Johns Hopkins University, more than 14.8 million coronavirus cases have been confirmed in the United States. The country’s daily infection rate is also at an all-time high, averaging seven days.
This recent surge in Covid-19 cases has prompted several states and cities to introduce stricter social distancing measures. New York Governor Andrew Cuomo said Monday that New York City could lose indoor dining next week, adding that stricter restrictions would be imposed if hospitals reach a critical point.
“You cannot overwhelm the hospital system,” said Cuomo. “Overpowering the hospital system means people die on a stretcher in a hallway.”
Subscribe to CNBC PRO for exclusive insights and analysis as well as live business day programs from around the world.