The Stock Market and COVID-19


Catherine Marceleno

Doctors have now announced a vaccine with 90% efficiency. This news has affected the whole world in many different ways. Stock markets have been on the increase and decrease, affecting the value of many companies and the U.S. economy due to the recent news. The Corona Virus has changed the lives of millions of people around the world, but that is not the only effect of this deadly disease. Thousands of people lose their jobs, business, and more every day. This virus affects all of us as a nation.

Value and smaller companies typically have more leverage to economic recoveries, so a vaccine that would remove the weight of COVID-19 off the economy is a distinct positive,” wrote Bill Stone, Chief Investment Officer.

We all have a little knowledge about the stock market or Wall Street, as many people recognize it. Stock markets demonstrate the value of the best companies found in the U.S.A., like Apple or Netflix. But do we know what affects the value of these companies? Well, it all revolves around the government. For example, we know how much damage COVID-19 has brought to this country, but the sudden release of the vaccine’s news has affected the market in both positive and negative ways.

In the past few months, the Dow market had many downs and lost a small percentage of its value. Over the past few weeks, the Dow has recorded a new record on Monday after releasing the news. The Dow had reached the value of almost 30,000 for the first time since February. Following the announcement, many companies had an upward market over the course of last week, but also many companies saw an unfavorable outcome with the vaccine.

“Due to the large size of the addition, S&P Dow Jones Indices is seeking feedback through a consultation to the investment community to determine if Tesla should be added all at once on the rebalance effective date or in two separate tranches ending on the rebalance effective date,” S&P said in a statement.

The stock market has had a week of changes; many investors expect to see a higher rise in the market over the course of the days. It is expected to see an upward trend in stocks such as Tesla, Apple, Netflix, and more.

All news has a significant impact on the market, but at times like this. Information relating to COVID-19 is a game-changer. It affects all of us even when we don’t know it. It can affect our parents’ jobs, our families, and the whole world. 

With the news of a vaccine with 90% efficiency, stocks have been both on the rise and the fall. This news has had a significant impact on the markets over the past week, with Dow making a new record since February. Overall, it is expected to have a favorable market this week, especially in Apple and Tesla markets. Investors play a considerable role in this, so let’s wait and watch how the market works. It may take a different turn than what is expected.