Jakarta, CNBC Indonesia – The United States stock market (US) entered the green belt at the opening of trading Wednesday (1/7/2020), due to the emergence of positive news related to anti-corona vaccine (the latest strain) and payroll slip data.
ADP and Moody’s Analytics reported payroll slips in the US rose 2.37 million in June, while last month’s pay slips turned out to be larger than expected at 3 million. Economists in the Dow Jones poll predict an increase in salary slips of up to 2.5 million.
The Dow Jones Industrial Average gained 113 points (+ 0.4%) at the opening of the trade at 08:30 local time (21:30 WIB), and 5 minutes later increased to 130.71 points (+ 0.51%) to 25,943.59. However, the Nasdaq index gained 10.63 points (+ 0.11%) to 10,069.4 and the S&P 500 rose 11.26 points (+ 0.36%) to 3,111.55.
A coron vaccine study between Pfizer and BioNTech shows the drug leads to neutral antibodies. It’s just that the news has not been proven scientifically. The company states that if the vaccine gets approval, they will produce 100 million by the end of this year, and potentially break the 1.2 billion mark by 20221.
“We are pleased with the clinical data of BNT162b1, one of the four constructs of mRNA that we are clinically evaluating, of which we found initial findings, a positive start,” said Kathrin U. Jansen, Head of Development and Research at Pfizer Vaccine, in an official statement as quoted. CNBC International.
Pfizer shares surged more than 6% following the news, while BioNTech shares were suspended because they shot up to 8.1%.
Wall Street has recovered from the biggest correction position in its history due to the corona pandemic, with the Dow Jones rising 17.8% in the second quarter, or posting the best position since 1987.
Meanwhile, the S&P 500 index rose 20%, becoming the biggest quarterly rally since 1998. The Nasdaq Index also fared the same, shot up 30.6% in the same period, the best since 1999.
The news neutralized concerns arising from the statement of the White House health adviser Anthony Fauci who predicted new cases would reach 100,000 per day if the spread continued at the current scale.
So far, more than 12 states have postponed or canceled plans to reopen the economy following a 40% rise in cases in the past week to an average of 39,750 on Monday.
From the corporate side, Macy’s shopping center will release its financial performance before the market closes.
CNBC INDONESIA RESEARCH TEAM
