People “desperate” to buy shares after Pfizer vaccine approval



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The rally on Wall Street after Pfizer’s Covid vaccine received full approval from the Food and Drug Administration showed “people are desperate to enter inventory,” CNBC’s Jim Cramer said Monday.

“You rarely see a market this simple, but everything that is cyclical has roared in the history of Pfizer today,” said the host of “Mad Money”.

The S&P 500 rose 0.8% to close at 4,479.53, while the Dow Jones Industrial Average added 215.63 points, or 0.6%, to close at 35,335.71. The tech-rich Nasdaq outperformed, rising 1.5% to close at 14,942.65.

“What is the market telling us here?… It says people are desperate to come in, desperate to buy stocks even if they have to pay. Now there is a word for these gains, and this word is obvious, ”Cramer said. .

In general, Cramer said the market reacts favorably to positive news, especially when it comes to news that helps fight the coronavirus pandemic or shows epidemics are improving. Monday’s rally, however, felt a little different, Cramer suggested, rhetorically asking if it was possible that an investor was caught off guard by the FDA’s vaccine approval decision.

“What kind of silly market is buying the news when everyone already knows the news?” ” he said.

Despite this, Cramer said the reaction from stocks – with travel-related companies such as Airbnb and Lyft, as well as airlines and cruise lines seeing their stocks jump – seemed to suggest that at least some investors saw enough reason to ‘to buy.

“I’m placing this rally squarely on Comirnaty,” Cramer said, referring to the name Pfizer gave to its vaccine. The Covid pictures have “already saved tens of millions of people, and today it has also saved your wallet,” he added.

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