MIAMI – Airlines and travel companies stocks go up as Pfizer announces its experimental COVID-19 vaccine is 90% effective. The news has given a significant boost to the shares of various industry companies on world stock exchanges.
Market Trading Numbers
The European banking index took a big leap forward, gaining 10.9%. French banks Société Générale and BNP Paribas led the way with 18% and 14.5% respectively. On Wall Street, JP Morgan, Bank of America, and Goldman Sachs were all up between 4% and 8% in pre-market trading.
Neil Wilson, an analyst at Markets.com said, “Let’s just hope the vaccine deniers won’t get in the way, but 2021 just got a lot brighter.”
A Relaunch for Hard Hit Companies
Aviation companies hit hard by the COVID-19 restrictions have experienced a strong rally, with IAG rising close to 40%. US airlines, United Airlines (UA) and American Airlines (AA) jumped more than 20% in premarket trading.
As mentioned by Skift.com, Britain’s transport minister Grant Shapps said in an online airport industry conference that Britain was making “good progress” with a plan to allow COVID-19 tests. The tests would shorten the 14-day quarantine period for those returning from abroad, a change that could help fuel a recovery in travel.
Furthermore, the pan-European STOXX600 index, which was already up after the victory of the new US President Biden, marked a positive jump of 4.5%, its highest since March. Futures following the S&P jumped 5% while those following Nasdaq went negative.
Nasdaq 100 is home to the world’s biggest technology stocks such as Netflix, Amazon, Apple, and most of the companies that benefited from consumers sheltering in place across the world.
Featured image: ICAO