US Stocks: Stay-at-home beneficiary Zoom provides the biggest lift to the Nasdaq

Marco Green
November 22, 2020

On Friday, all three key indices of Wall St. had rounded off the session sharply lower with trade-sensitive Dow Jones Industrial Average leading the tally of the losses, as a relatively thin-trading session on Friday had witnessed a withering profit-taking sell-offs as concerns were mounting over the time-consuming rollouts of a potential pandemic vaccine, while a growing grudge regarding a renewed pandemic restriction measures adopted by a number of USA cities had casted fresh doubts on investors' belief over the recovery of a frail U.S. economy which had entered into a technical recession back in February this year.

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The Nasdaq edged 0.2% higher, boosted by a rise in shares of stay-at-home darlings Zoom Video Communications Inc and Inc.

As of 1530 GMT, the Dow Jones Industrial Average was down 0.43% at 127.82 and the S&P 500 was 0.29% weaker at 3,571.58, while the Nasdaq Composite came out the gate 0.04% firmer at 11,909.37.

For the week, the Dow and the S&P 500 ended down 0.7%, and the Nasdaq finished the week up 0.4%.

Pfizer Inc rose 1.2% as the company said it has applied to US health regulators for emergency use authorization of its COVID-19 vaccine.

The U.S. Treasury's decision to allow several emergency Federal Reserve programs to expire against the wishes of the Federal Reserve deflated some of the bullishness on Wall Street. "The timing of this dust-up is unfortunate, as the risk of COVID is still very much with us".

Record infection numbers in the USA have caused COVID-19 hospitalizations to soar 50 percent and have prompted a new round of school and businesses closures, curfews and social distancing restrictions, hobbling economic recovery from the deepest recession since the Great Depression.

US Stocks: Stay-at-home beneficiary Zoom provides the biggest lift to the Nasdaq
Wall Street falls as virus cases surge

In the corporate space, Pfizer and BioNTech will apply for an emergency use authorisation from the US Food and Drug Administration for their Covid-19 vaccine.

Tesla Inc shares rose for the third straight session to touch a record high, riding the wave of its pending inclusion in the S&P 500, announced on Monday.

The S&P 500 and the Dow are little changed over this week following two strong weeks of gains, as investors juggled between growing optimism over an effective coronavirus vaccine and near-term economic damage from the surging virus cases. Tech .SPLRCT and industrials .SPLRCI suffered the largest percentage losses on the day.

Semiconductor stocks and other stay-at-home plays, which have thrived throughout the health crisis, helped keep the Nasdaq green.

Gilead Sciences Inc shed 0.8% as a World Health Organization panel advised against the use of the company's COVID-19 treatment remdesivir, citing lack of evidence the drug improves survival or reduces the need for ventilation.

Declining issues outnumbered advancing ones on the NYSE by a 1.08-to-1 ratio; on Nasdaq, a 1.06-to-1 ratio favored advancers.

The S&P 500 posted 16 new 52-week highs and no new lows; the Nasdaq Composite recorded 112 new highs and seven new lows.

Volume on U.S. exchanges was 10.69 billion shares, compared with the 10.70 billion average over the past 20 trading days.

Other reports by Click Lancashire

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