“Today is a great day for science and humanity,” Albert Bourla, Pfizer’s chairman and chief executive, said in a statement. “We are reaching this critical milestone in our vaccine development program at a time when the world needs it most with infection rates setting new records, hospitals nearing over-capacity and economies struggling to reopen.”
S&P 500 futures soared 3.8 percent while Nasdaq 100 futures added 0.7 percent.
Investors also reacted to a Biden’s election victory, largely dismissing President Trump’s refusal to concede and efforts to take the issue to the courts.
“While the threat of legal action by Trump could delay proceedings, investors are pricing in almost zero chance for the incumbent to destabilize affairs” Russ Mould, investment director at AJ Bell, wrote in comments emailed to The Post “That means the market is in risk-on mood.”
The MSCI All-Country World Index hit a new high on Monday as equities soared overseas. Asian markets advanced across the board, led by Japan’s Nikkei 225, which swelled 2.1 percent to a record high, and the Shanghai Composite index, which gained 1.8 percent. European markets were up in midday trading, led by Germany’s DAX, which had advanced 1.7 percent.
In the campaign’s final days, as pundits forecast a “Blue Wave” delivering unified Democratic control at both ends of Pennsylvania Avenue, investors counted on Biden to produce a multitrillion-dollar stimulus bill early next year. Divided government is likely to mean a less generous package, but some investors say it could be enough to revive the slowing recovery.
Stocks soared last week as the prospect of a GOP-controlled Senate reduced the likelihood that a Biden presidency would usher in tax increases and sweeping regulatory changes, which many analysts considered “the goldilocks outcome” in the U.S. presidential contest. Senate Majority Leader Mitch McConnell (R-Ky.) would be able to block market-rattling Cabinet appointments, such as Sen. Elizabeth Warren (D-Mass.), as treasury secretary.
This result is particularly favorable for tech stocks because it has muted the threat of major legislative changes to antitrust law, which investors saw as the biggest threat to Big Tech, according to Dan Ives, an analyst with Wedbush Securities
“While the DOJ suit vs. Google and potentially others on the horizon remains a long-term threat with litigation likely to go for years, for now the Beltway vs. Big Tech regulatory environment looks less onerous than it could have in a Blue Wave scenario,” Ives said in comments emailed to The Post.
Oil markets, which have been choppy in recent days as rising coronavirus infections prompt renewed business and travel restrictions, also rebounded Monday. Brent crude, the international oil benchmark, advanced 3.4 percent to trade at $40.79 per barrel. West Texas intermediate crude, the U.S. benchmark, soared 4.1 percent to trade at $38.72 per barrel.