Nov. 30, 2020
Good evening everyone! Welcome to a new episode of “Stocks Today”, explaining what forces moved the stocks in the U.S. equity market today (Monday, 30 November 2020).
It wasn’t the best day ever for the stock market today, but all in all this day ended a very positive month for most indexes.
The S&P 500 closed at 3,621.63 down 0.46%, whereas the Nasdaq closed down just 0.06%.
Despite closing its best month since 1987 (up 12%), the Dow Jones closed down 0.91% today. This was a more difficult day for small-cap stocks, with the Russel 2000 down 1.91%.
Why did the stock market move today?
A first glance is sufficient to understand that although sellers exceeded buyers overall, investors seem to trust companies from the information technology sector more than stocks from the industrial and financial stocks. IT companies are well known to represent a big component of the Nasdaq index.
The excitement for the vaccine seems to be slowly fading in a trend already started last week. Jobless claims rise just like the number of new COVID-19 infections, while investors realize that the recovery will still need some months to come.
Stocks of the day
Investors in Moderna (NASDAQ: MRNA) saw their stocks fly 20% up today, following the announcement that the company will ask US and EU health authorities to give permission to start using their vaccine.
Zoom Video Communications reported its quarterly earnings today during after-hours market trades. Earnings of 99 cents per share widely exceeded the 76 cents per share expectations and so did the revenue of $777 million against the $694 expected.
The stock (NASDAQ: ZM) followed the not-too-bad performance of the Nasdaq today and closed up 1.43% during regular market hours. Despite the apparently triumphant earnings release, the stock fell almost 5% during after-hours market trades. Why is that?
Investors seem to consider that although Zoom’s technology is here to stay, no one can reasonably expect another +591% stock growth for the next year like the one we’ve experienced in the last 12 months.
That’s all for this Monday’s stock market update. Stay tuned to receive your daily update!