Dow Jones Futures Leap As Pfizer/BioNTech Coronavirus Vaccine Effective, Tech Futures Slash Profits In Market Rally Shakeup

Dow Jones Futures Leap As Pfizer/BioNTech Coronavirus Vaccine Effective, Tech Futures Slash Profits In Market Rally Shakeup

Dow Jones futures soared on Monday morning, along with S&P 500 futures, as Pfizer (PFE) and BioNTech (BNTX) confirmed promising late-stage results for their coronavirus vaccine candidate. Yet Nasdaq's futures cut profits when work-from-home plays sold off. A strong stock market rally, fuelled by election results amid coronavirus events, has taken place. The Dow Jones, S&P 500 and Nasdaq composite index have had their best weeks since early April, following the worst weeks after the March collapse. Leading stocks are breaking out in a wave. Joe Biden has won the presidential election, according to Associated Press, CNN, ABC and CBS. Although automatic recounts are expected to take place in at least Pennsylvania and Georgia, with President Donald Trump pursuing legal challenges, the 2020 election seems to be over. Not for the Senate, however. The GOP looks likely to win 50 seats, but could cling to a majority if it secured at least one of the two runoff races in Georgia on Jan. 5.

Pfizer/BioNTech Coronavirus Vaccine

The Pfizer/BioNTech coronavirus vaccine is more than 90% successful, the two firms said early on Monday. Pfizer and BioNTech are expected to request FDA emergency clearance at the end of November, following the efficacy milestones of the Covid vaccine. Pfizer's shares jumped early on Monday. So did BioNTech's stock, which is scheduled to vault over the buying point at Monday's opening. Moderna (MRNA) could join AstraZeneca (AZN) a few weeks later with its Covid vaccine candidate in December. Several other possible coronavirus vaccines are advancing in clinical trials. Moderna's stock grew modestly before it opened. Meanwhile the Quidel (QDEL) coronavirus research business plummeted. Several coronavirus vaccines may have been accepted by early 2021, but most Americans may have been vaccinated for several months.

Some Notes

Biogen stock sank early on Monday. Biogen (BIIB) spiked last Wednesday as the FDA documents lifted expectations for clearance. But on Friday, the FDA panel unanimously rejected the proposal for approval of the Alzheimer's medication aducanumab. Alibaba stock, Nvidia (NVDA), Google parent Alphabet (GOOGL) are all within the range of the right purchase points. Tesla (TSLA) sales in China grew modestly in October, following solid gains from China's Nio (NIO), Xpeng Motors (XPEV), Li Auto (LI), BYD Group (BYDFF). Tesla's stock soared last week, but it is still below the buying rate. Nio's warehouse, Xpeng's, Li Auto's and BYD's are all greatly expanded after huge weekly gains. Tesla rose early on Monday. But the U.S.-listed stock of Nio, Li Auto and Xpeng reversed lower after the news of the vaccine. Finally, solar and marijuana stocks such as First Solar (FSLR) and Aurora Weed (ACB) grew on Monday, as investors continued to stifle the election consequences. The Biden administration will presumably go back to decriminalizing the pot while alluding to sweeping renewable energy proposals. But it is not clear if the GOP Senate is going to go along with these legislative changes. The earnings of Canadian cannabis company Tilray (TLRY) are due late Monday. The stock of Alibaba (BABA), Tesla and Nvidia is on the IBD Leaderboard. The portfolio of Alibaba is on IBD Long-Term Leaders. The stock of Nvidia and Alibaba is on the IBD 50. The stock of Nvidia and Tesla is on the Big Cap 20. Source: investors.com