Shares ended higher on Wednesday, bolstered by emergency Pfizer approval (PFE) – Get the Pfizer Inc. Covid-19 pill and optimistic economic reports.
The Dow Jones Industrial Average finished up 261 points, or 0.74%, at 35,753, while the S&P 500 was up 1.02% and the tech-rich Nasdaq gained 1.18%.
The United States Food and Drug Administration has granted emergency use authorization for Pfizer’s Covid-19 treatment pill, the first of its kind to receive authorization in the United States.
The pill was also found to be effective against the newly identified omicron variant, which dominated market sentiment.
Infections have doubled every one and a half to three days, according to the World Health Organization, and countries have instituted business and travel restrictions in order to contain its lead.
However, data from South Africa suggests omicron-related hospitalizations are much less likely than with Delta.
Americans are feeling better about the economy in recent holiday periods, as the Conference Board reported that consumer confidence rose to 115.8 in December from 111.9 in November.
In addition, Edward Moya, senior market analyst for the Americas at Oanda, noted that the final third quarter GDP reading saw upward revisions across the board, with the headline revised up from 2.1. % to 2.3%.
“Personal consumption improved from the preliminary reading of 1.7% to 2.0%, while price readings edged up,” he said. “These data were old but confirmed the story of continued strong growth and price pressures are still nearing their peak.”
In company news, Tesla (TSLA) – Get the Tesla Inc report shares rose 7.5% after founder and CEO Elon Musk said he had “sold enough shares” in the clean-energy auto company after pledging to get rid of around 10% of its assets.
caterpillar (CAT) – Get the Caterpillar Inc. stocks climbed nearly 2% after Bernstein analyst Chad Dillard upgraded the industrial equipment maker to outperform the market and increased its price target to $ 240 from $ 200 .