Wall St. closes higher as tech stocks back in favour



by   |  VIEW 1956

Wall St. closes higher as tech stocks back in favour

On Wednesday, a swathe of US stocks rounded off the session in an affirmative territory, while a solid rebound of tech stocks which have been benefitted the most since the onset of pandemic outbreak, had tuned up the tone.

In point of fact, a remark from the next US President Joe Biden that a pandemic vaccine certification would follow scientific methodology, had evaporated some of the optimisms of Monday’s breakthrough trial results from Pfizer Inc., while a pandemic-propelled lockdown in a number of major economies across the globe had dragged economically sensitive stocks against on Wednesday and investors had eventually turned to mega-cap tech stocks.

Nasdaq roars back as investors change gear

In factuality, demands of riskier assets had ramped up substantially earlier this week following Monday’s landmark moves which the pandemic vaccine maker Pfizer Inc. had claimed as a major scientific development, scaling down the mega-cap tech stocks, nonetheless, after two days of brutal sell-off, the tech-heavy Nasdaq had regained some of its footings with a rise in tech stocks lifted by the forced business closure measures.

In tandem, after taking a tattering header between 2.3 per cent to 3.5 per cent yesterday, shares’ prices of Microsoft, Amazon.com Inc. alongside Apple and Netflix stepped up intransigently on Wednesday’s session.

Citing statistics, on the day’s Wall Street closing bell, the trade-sensitive Dow fell marginally to 29,414.74 and the benchmark S&P 500 surged 0.77 per cent to 3,572.33, while the tech-heavy Nasdaq jumped as much as 1.97 per cent, paring all of its yesterday’s loss, to wind down the day at 11,781.37.

Meanwhile, citing that the US stocks would likely to experience an upscaled volatility until approval of a pandemic vaccine in light of a strong earnings’ season for the deep-pocket tech stocks, a head of Investment Strategy at Citi Personal Wealth Management, Shawn Snyder said on the day’s Wall St.

closure, “We’ll probably have these fits and starts of the rotation until we get into the spring. There’s still really strong earnings for these technology companies and you’re still facing a potential surge in COVID cases through the winter months and renewed restrictions and lockdowns.