Big Pharma companies have been enjoying a surge in their stock prices following reports that a deadly new coronavirus is spreading among humans in China.
Friday marked the worst day of the year for the stock market as the Dow plummeted by 748.63 points, and pharmaceutical companies like Pfizer and Moderna stocks saw a significant rise.
The surges come amid reports from researchers at the Wuhan Institute of Virology identifying a deadlier strain of coronavirus known as HKU5-CoV-2.
Media reports are now warning that the new virus could trigger a deadly global pandemic.
COVID-19 originated in a lab in Wuhan, which the media told us for years was untrue.
The research, published Tuesday in the scientific journal Cell, began to spark concerns, drawing eerie parallels to the early days of the COVID-19 pandemic.
Following the report’s circulation, Pfizer (PFE.N) shares climbed 1.54%, while Moderna (MRNA) surged by 5.34%.
The pharmaceutical sector’s gains stood in stark contrast to the broader market, which saw steep losses.
The S&P 500, tracking the 500 largest American companies, fell 1.71%, marking its worst day in two months.
The Dow Jones Industrial Average dropped 1.69%, its steepest decline this year, while the Nasdaq Composite plunged 2.2%.
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