The Dow Jones Industrial Average rose to a record yesterday for the first time in nine months, riding a swell of optimism that a vaccine may soon control the corona virus and the economic destruction it’s caused.
Leading the way again were stocks of companies that would benefit most from an economy busting out of its forced hibernation, such as airlines, movie theaters and banks. At the same time, the virus situation winning stocks that benefited from lockdown orders like Amazon and Zoom Video Communications lagged as they no longer looked like the only safe bets to play.
Gene Goldman, chief investment officer at Cetera Financial Group said, “The vaccine could help people breathe a sigh of relief, but the devil is in the details.” Stocks of companies that had thrived amid lockdowns and vigilance about the virus, meanwhile, have lagged. Amazon, Netflix and Etsy are all down more than 5% since just before Pfizer’s announcement. Zoom has sunk 20.2%.
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