Coronavirus Update

13th November 2020

Weekly round up

Stock markets surged on Monday as pharmaceutical company, Pfizer announced potentially breakthrough news in the search for a coronavirus vaccine.

Markets had already begun to stabilize in a positive direction following a clear result in the US election and with the news of a vaccine, the FTSE100 jumped as high as 6.9% this week.

The biggest daily rise was 4.6% on Monday, seeing the market jump over 700 points since the turn of the month, back to the levels seen in June’s rally.

Following the major announcements earlier in the week, the FTSE100 remains relatively unchanged today at the 6330 level.

However, the re-rating we have seen in the UK did not transpire in the US markets. With Covid-19 cases continuing to surge, the US markets reacted negatively.

The S&P 500 fell more than 1% and the Nasdaq Composite had a decline of 0.7%. Whilst news of breakthrough research into a vaccine is very positive, the economic impact of the pandemic will be around for years to come.

 

Risers and fallers

Young & Co Brewery had a positive week of trading following their half-year report announced on Thursday. The UK pub operator saw like-for-like sales reach 81% of prior year levels in the 10 weeks to September 28. The share price had a weekly rise of 32.6%.

The share price of Fresnillo Plc, the gold and silver production company, fell 14.4% this week. The weakness comes after the price of gold fell over 4% on Monday.