Wall Street set new records after the vaccine’s approval

Wall Street extended yesterday’s gains on Tuesday. The New York stock market registered records in two of its leading indicators, the S&P 500 and the Nasdaq. 

The S&P 500 advanced by 0.15% or 6.70 points, to 4,486.23. The Nasdaq exceeded 15,000 points for the first time, adding 0.52% or 77.15 points, to 15,019,80. Meanwhile, the Dow Jones gained a slight 0.09% or 30.55 points, to 35,366.26.

Wall Street got a boost due to the full approval of Pfizer and BioNTech vaccines in the US. According to Peter Cardillo, chief market economist at Spartan Capital Securities, full approval means there will be more mandates to get the vaccine to get back to the office. Even though it will not get everyone vaccinated, it will drive the rate of vaccination closer to 75%.

What to expect at the Fed meeting?

The market is still waiting for the central bankers meeting taking place in Jackson Hole on Friday, which will give clues on monetary policy. Jefferies managing director David Zervos stated that he does not expect a lot of fireworks at the meeting since it is not time to start talking about tapering. The US central bank has been buying about $120 billion a month of Treasury securities and mortgage bonds to help support the economy during the coronavirus pandemic.

By sectors, energy companies received the most significant gains, increasing by 1.61%. At the same time, non-essential goods added 0.76%, and basic materials climbed by 0.67%.

Essential goods firms were the most affected, dropping by 0.76%. The real estate sector followed it with a loss of 0.72%.

Among the 30 major companies listed on the Dow Jones, Dow Inc increased the most, climbing by 1.93%. Goldman Sachs followed it with a rise of 1.77%. Caterpillar’s increase was also noteworthy, growing by 1.65%.

As for the losses, Johnson & Johnson slipped the most and shed 1.25%. 

Walmart also lost a significant 1.03%.