Today’s Market Wrap Up and a Glimpse Into Tuesday

Stocks are on a roll, with all three of the major indices closing in the green. The tech-heavy Nasdaq even clinched a fresh all-time high, closing at 14,942, while the Dow Jones Industrial Average and S&P 500 also advanced.

Investors were in a cheery mood after the FDA placed its full stamp of approval on Pfizer’s COVID-19 vaccine. Shares of the pharmaceutical giant climbed approximately 2.5% higher on the day. Now that the drug, which Pfizer made alongside BioNTech, has received the blessing of regulators, Americans who have been holding out might be swayed to get jabbed.

Stock index futures are continuing their upbeat performance in the after-hours market on Monday evening as investors breathe a sigh of relief about the vaccine. The Dow, Nasdaq and S&P 500 futures are all flashing green.

Stocks to Watch

• Ride-share companies Uber and Lyft were resilient in the face of a setback in a California court. A judge decided that Prop 22, which is a ballot initiative in the state designed to keep gig economy workers as independent contractors rather than employees, is unconstitutional. Companies including Uber, Lyft and DoorDash poured hundreds of millions of dollars into Prop 22, the decision on which they are now expected to appeal.
• Tech giant Microsoft saw its shares rally to a new record after revealing plans to hike the price on some Office 365 subscriptions next year. Wall Street analysts reacted positively to the new pricing model, suggesting that Microsoft could see a bump in revenue as a result.
• Shares of Palo Alto Networks are up 10% in after-hours trading on the heels of the tech company’s quarterly results. Palo Alto Networks beat Wall Street estimates on the top and bottom lines as businesses begin to refresh their hardware. The extended-hour gains are notable considering the stock’s year-to-date gains fell below 6% prior to Monday.

Look Ahead

With no sign of the markets slowing down, investors will be looking to see if stocks will extend their gains yet again on Tuesday. Fed officials are a wildcard that could derail the market optimism as they prepare for the annual Jackson Hole symposium, which will be held virtually this year. Fed Chairman Jerome Powell’s keynote address will come on Friday.