It looked like the Sainsbury’s selloff might prevent the FTSE 100 from joining today’s market party, but in the end the Wall Street glow cut through aided by a slight rise in the price of gold and speculation about the next travel update due later this week. The travel sector and miners delivered some decent gains today. In the first camp, hotels group Whitbread, TUI, Easyjet and Carnival all made it on to the top risers list as investors lap up social media beach posts or indulge in their own holiday dreams. The summer has managed to deliver in a small way and expectation that more Americans might just grab a jab after yesterday’s regulator approval of the Pfizer-BioNTech vaccine will generate talk that perhaps the US-UK travel bridge might be somewhere on the horizon.
Retailers have also performed fairly well today despite more data detailing shipping issues that seem to be storing up trouble for the back end of the year. It might seem wrong to talk about Christmas before schools have even gone back but after the last 18 months of disruption and despair this holiday season will be even more important to retailers and anything that impinges on that is a worry. And while retail is on the mind, the game of supermarket sweep has seen another obstacle fall into the aisle with a warning from Morrisons’ pension regulators that both bids in contention are a cause for concern.
But all the intrigue emerging from between the shelves rather pales alongside today’s stonking performance from the Nasdaq. Despite, or perhaps because of the drip drip of Covid concerns, the index hit another record high. Will a rise in cases change the narrative at this week’s Jackson Hole symposium? There are many considering just that possibility. And then there’s all that lovely earnings data with some like Pinduoduo surprising on the upside and others like JD.com exceeding expectations. Investors are making hay while the sun shines. The question is: how long can the recovery rally really continue?
Source : https://www.theguardian.com/business/live/2021/aug/24/stocks-oil-rally-pfizer-covid-vaccine-tapering-fears-fed-ftse-pound-dollar-business-live?page=with:block-6124c8538f080840ca179cfa403