For the first time since March, the S&P 500 has reached 3,000. Dow Jones has already gained around 600 points today. On the back of rising indices, stocks of biotech companies are going up.
As investors’ optimism about the economy’s reopening after the coronavirus crisis is growing, stocks and market indices are going up. Global markets surge today, with S&P 500, Nasdaq Composite and Dow Jones Industrial Average breaking new highs.
Dow Jones 600 Points Up, S&P 500 Breaks 3,000 amid Global Markets Surge
Dow Jones Industrial Average index surprised back last week, rising by 369.04 points and closing at 24,575.90 on Wednesday. That 1.52% gain was the fourth positive day in five. Today, Dow Jones has already gained around 600 points or 2.40% and currently is at 25,053.10 level.
For the first time since March, the S&P 500 has reached 3,000. It has rallied 2.36% or 69.62 points to 3,025.07. In addition, it exceeded its 200-day moving average.
As for the Nasdaq Composite, it has added 1.25% to 9,441.25.
Donald Trump took to Twitter to comment on today’s rally:
Stock Market up BIG, DOW crosses 25,000. S&P 500 over 3000. States should open up ASAP. The Transition to Greatness has started, ahead of schedule. There will be ups and downs, but next year will be one of the best ever!
— Donald J. Trump (@realDonaldTrump) May 26, 2020
Bruce Bittles, the chief investment strategist at Baird, said:
“A return to a bull market in stocks and a return to economic growth are dependent in large part upon the containment of the virus which will allow businesses to re-open and consumers to resume their spending habits. The market seems to be pricing in a quick economic recovery (V-shape) which would help explain the recent rally.”
Biotech Stocks Run Higher
On the back of rising indices, stocks of biotech companies are going up. Those involved in the COVID-19 vaccine race are on the winning side. For example, Moderna Inc (NASDAQ: MRNA) stock was rising the whole week before declining in the session on Friday. At the moment of writing, it is trading at $62.66 per share.
Novavax Inc (NASDAQ: NVAX) stock is performing extremely well today. As the company announced the start of human trials of its vaccine candidate, its shares soared by 16% in the pre-market. Currently, NVAX stock is 13.06% upward, at $52.13 per share.
Johnson & Johnson (NYSE: JNJ) stock makes a good running as well. It is now trading at
One more biotech stock Sanofi SA (NASDAQ: SNY) is 0.68% up, at $47.62.
Tech Shares Up as Global Markets Surge Today
Tuesday is a fortunate day not only for pharmaceutical companies. The economic recovery has boosted tech stocks as well.
For example, Tesla Inc (NASDAQ: TSLA) stock has been in the green since the pre-market trading, when it was 2% up. At the press time, it is
European Travel Sector Starts Recovering
Global markets surge today, and all the industries and sectors are taking advantage of investors’ optimism. While in the US pharma and tech companies are in the catbird seat, European markets see a soar in the travel sector.
The gains of travel and leisure stocks have made up 7%. For instance, the stock of British Airways owner International Consolidated Airlines Group (LON: IAG) has jumped by 22.54% to $233.80. German Lufthansa (ETR: LHA) stock has soared by 6.83% to EUR 9.23.
Notably, the European stock market indices are surging as well. FTSE 100 index has gained 74.31 points to reach 6,067.59 level. CAC 40 Index is 1.46% up, at 4,606.24 points.
Daria is an economic student interested in the development of modern technologies. She is eager to know as much as possible about cryptos as she believes they can change our view on finance and the world in general.