|
|
By Connor
Smith | Friday, November 19 Thankful
for Tech Stocks. U.S. equities were
mixed today with technology stocks standing out. The Nasdaq
Composite rose 0.4%, riding a two-day streak to
its 46th record close of 2021. The S&P
500 fell
0.1% from yesterday's record close, while the Dow
Jones Industrial Average dropped nearly 0.8%. The S&P was led by
gains from Intuit, Micron
Technology, and Enphase
Energy, while declines
for Boeing and UnitedHealth weighed on the Dow. The 10-year
Treasury yield fell to 1.54% from 1.61%. Barron's Jacob
Sonenshine and Jack
Denton explained
the significance of the move: That bodes
well for the tech trade. Lower bond yields make future profits more
valuable—and fast-growing companies in the sector are expecting a large share
of their profits to come many years down the line. Ultimately,
market participants rushed into safety Friday. The drop in the yield means
investors bought up the bond, sending the price higher. This came as new
Covid-19 cases perked up in Europe, prompting Austria to announce lockdowns
beginning next week. Moderna and Pfizer gave investors a dose of
good news when they said Friday the U.S.
Food and Drug Administration had expanded its
emergency use authorizations to allow booster shots for adults ages 18
and above. That builds on the previous booster authorization for vaccinated
adults over age 65 and those 18+ who were considered at higher risk of
severe disease. Later on
Friday, the Centers for Disease Control and Prevention’s vaccines advisory
committee voted
unanimously to recommend Covid-19 vaccine boosters for all people
under 65 who initially received the Pfizer or Moderna vaccines. Here's my
colleague Josh
Nathan-Kazis on the news: Some CDC
advisors had in the past opposed allowing boosters for adults under 65,
citing rare side effects, and uncertainties around the benefits for younger
people. On Friday, amid complaints from state public health authorities and
others that the current regulations were too complicated and had prevented
eligible people from seeking boosters, the advisors dropped their objections. While Pfizer
shares dropped today, the booster news was a shot in the arm for Moderna. The
stock was among the day's best performers, closing up 4.9%. Investors
will return on Monday to a holiday shortened week. U.S. equity and bond
markets are closed for Thanksgiving on Thursday and they close early on Friday.
Expect a light trading week. Going back
to 2008, trading volume on the New
York Stock Exchange and Nasdaq during
Thanksgiving week is, on average, less than half of a typical week, according
to Dow Jones Market Data. More time for turkey and football. Watch our TV
show on Fox Business Fridays at 9 p.m. or 10:30 p.m. ET; Saturdays at 11
a.m.; or Sundays at 10 a.m. or 11:30 a.m. ET. This week, see an interview
with Pfizer CEO Albert
Bourla on Covid-19
vaccine booster shots and the impact of the company's new Covid pill. |
|
|
DJIA:
-0.75% to 35,601.98 The Hot
Stock: Intuit +10.1% Best Sector:
Technology +0.7%
|
No comments:
Post a Comment