Stocks finished mixed Wednesday as the Dow finished flat and tech shares rebounded after investors earlier this week moved into more cyclical names that would benefit from an economic recovery.
The Dow Jones Industrial Average finished down 23 points, or 0.08%, to 29,397, and the S&P 500 gained 0.77%. The Nasdaq Composite was up 2.01% as pressure on the tech sector eased.
Stocks finished mixed on Tuesday following a Wall Street rally that was fueled by Pfizer’s (PFE) – Get Report report that a coronavirus vaccine candidate it is developing with German partner BioNTech (BNTX) – Get Report prevented more than 90% of infections in a large-scale study.
The vaccine news from Pfizer saw investors turning toward shares of manufacturers and energy companies amid bets for a swifter reopening of the economy.
Analysts at Goldman Sachs lifted their year-end price target on the S&P 500 to 3,700 from 3,600, and boosted their targets for 2021 and 2022 as well. The index closed Tuesday at 3,545.
The analysts cited the importance of the vaccine to the economy’s recovery.
But underlying risks remain since a rollout of the Pfizer vaccine isn’t likely until the spring, and the number of covid-19 hospitalizations in the U.S. hit an all-time high.
U.S.-listed shares of Alibaba were down 0.4% on Wednesday, following a decline of more than 8% in Tuesday’s regular trading session.
The stock plunged 9.8% in Hong Kong on Wednesday, taking losses to more than $115 billion since Beijing unveiled new antitrust regulations on internet companies, according to Bloomberg.
As for Singles Day, sales topped $75 billion as the event closed, a huge increase from last year’s record high. The figure suggests robust consumer health in China, the world’s second-largest economy.