Stock Market Live Updates: Dow Rises 100, Tech Under Pressure, Travel Stocks Up on Vaccine Optimism – NBC Connecticut

Wall Street was set for a solid start to Monday’s session following a positive coronavirus vaccine-related announcement that lifted market sentiment. The move higher on Monday comes after the major averages struggled last week amid an increase in Covid-19 infections in the U.S.

U.K. prime minister Boris Johnson told Parliament on Monday that the country’s economic restrictions to slow the spread of the coronavirus pandemic will be lifted on Dec. 2. Johnson said the country will return to a “tiered system” of restrictions, with different rules in place for different areas depending on the level of infection.

Johnson is set to address the nation later Monday.

— Jesse Pound, Holly Elyatt

Major tech stocks came under pressure in early trading and pulled the Nasdaq Composite into negative territory. Shares of Apple and Facebook have lost 1.8% and 1.6%, respectively. Microsoft and Alphabet were also trading in negative territory. The index was down 0.1%.

— Jesse Pound

Business activity in the United States has continued to recover in November, according to IHS Markit. The firm’s flash reading for the composite purchasing managing index came in at 57.9. Readings above 50 represent economic expansion. The indexes for services and manufacturing increased relative to October.

— Jesse Pound

  • Credit Suisse downgraded Kellogg to neutral from outperform.
  • Piper Sandler downgraded Foot Locker to underweight from neutral.
  • UBS downgraded Philip Morris to neutral from buy.
  • JPMorgan upgraded Gap to overweight from neutral.
  • Wells Fargo initiated Moderna as equal weight.
  • Needham raised its price target on Roku to $315 from $255.
  • Janney downgraded Vail to neutral from buy.
  • Wedbush raised its price target on Tesla to $560 from $500.
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— Michael Bloom

Stocks started off the holiday week with modest gains. The Dow rose 188 points, or 0.6%. The S&P 500 and Nasdaq Composite advanced 0.6% and 0.5%, respectively.

— Jesse Pound

Travel stocks got a boost early on Monday as more news over a potential coronavirus vaccine lifted hope of a strong economic recovery.

Delta Air Lines, American and Southwest were all up more than 1% in the premarket. Cruise operators Carnival and Norwegian Cruise Line rose more than 2% each, and Royal Caribbean traded higher by 1.8%.

Fred Imbert

White house reportedly pushes for new measures against China 106800854
The Trump administration is weighing new hardline actions against China before President Donald Trump’s term comes to an end, Dow Jones reported Monday, citing senior officials. The measures in consideration include an informal alliance of Western nations to retaliate jointly if China abuses its trading power, Dow Jones reported. U.S. stock futures took a leg down following the headline.

Yun Li

Blackstone CEO Steve Schwarzman told Axios that the presidential election is over and that the “country should move on.” Schwarzman, a close ally and supporter of President Donald Trump, was part of a group of CEOs that met earlier this month to discuss how to respond to Trump’s failure to concede the election to Joe Biden. The Financial Times reported that Schwarzman defended Trump’s effort to legally challenge the vote counts in several states during that meeting.

— Jesse Pound

Goldman Sachs cut its economic outlook for the current quarter and first quarter of 2021 amid a new wave of Covid-19 infections and fresh lockdown restrictions.

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“The rapid and broad-based resurgence of the coronavirus has led us to downgrade our Q4 and Q1 GDP forecasts,” Jan Hatzius, Goldman’s chief U.S. economist, said in a note. “The pace of recovery would likely slow in the winter months, with a lack of fiscal support and a deteriorating virus situation pointing to significant downside risks.”

The bank now expects a 3.5% annualized GDP growth in the fourth quarter, down from 4.5% previously. And the growth rate in the first quarter of 2021 is expected by the firm to be just 1%, compared to 3.5% previously.

Yun Li

Regeneron’s Covid-19 antibody treatment was authorized on Saturday for emergency use by the Food and Drug Administration. This treatment was taken by President Donald Trump when he contracted the virus.

“Authorizing these monoclonal antibody therapies may help outpatients avoid hospitalization and alleviate the burden on our health care system,” said FDA Commissioner Stephen M. Hahn.

Shares of Regeneron were up by 3.6% in the premarket Monday.

Fred Imbert, Berkeley Lovelace Jr.

The IHS Markit flash euro zone PMI composite output index came in at 45.1 for November, down from 50 in October firmly in contraction territory. The index, which measures both services and manufacturing activity, hit its lowest level in six months.

Readings below 50 represent a decline in business activity. The measure captures a new round of economic restrictions implemented to slow the spread of the pandemic in many countries including France and Germany.

— Jesse Pound, Silvia Amaro

Merck announced Monday it will acquire privately held OncoImmune for $425 million in cash, giving the company the rights to a drug showing promising results when used to treat hospitalized Covid-19 patients.

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The drug, CD24Fc, reduced the risk of respiratory failure or death by more than 50% in patients hospitalized with Covid-19, Merck said.

“The results are remarkable,” Merck’s research chief, Dr. Roger Perlmutter, said in a telephone interview.

Merck shares were up nearly 2% in the premarket.

Fred Imbert, Meg Tirrell

British pharmaceutical giant AstraZeneca on Monday said an interim analysis of clinical trials showed its coronavirus vaccine has an average efficacy of 70% in preventing the virus.

It comes after a string of encouraging vaccine results in recent weeks. Pfizer and Moderna reported preliminary results showing that their respective Covid vaccines were both more than 90% effective.

Sam Meredith, Yun Li

U.S. stock futures kicked off the holiday shortened week with solid gains following the release of more positive data related to a potential coronavirus vaccine.

Dow Jones Industrial Average futures traded 179 points higher, or 0.6%. S&P 500 futures gained 0.5% and Nasdaq 100 futures advanced 0.3%.

AstraZeneca said its Covid-19 vaccine candidate had an average efficacy of 70%, with one dosing regimen showing effectiveness of 90%. The company is developing the vaccine with the University of Oxford.

That follows late-stage trial data from Pfizer-BioNTech and Moderna showing that their respective Covid-19 vaccines were around 95% effective. To be sure, the number of coronavirus cases continues to rise in the U.S., raising concern over more states and cities imposing lockdown measures.

Fred Imbert



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