Sumary of ‘A great day for humanity’ – and not bad for the stock market either | Nils Pratley:
- The FTSE 100 index rose almost 5% as the US firm and its German partner, BioNTech, reported promising initial results from their Covid vaccine trial..
- There is an obvious danger of getting carried away – of assuming that rapid vaccine development is now a breeze – but the strong market reaction makes sense..
- Second, the stock market response was concentrated in a few sectors – those that have been clobbered by Covid since February..
- Those are all reasons to think stock markets will remain volatile – and it jarring to see the S&P 500, the main US index, at an all-time high..
- “The trading backdrop remains resilient and the quick recovery of the housing market is testament to the underlying strength of demand and supportive lending backdrop,”…