Stocks rose Friday as news about a potential coronavirus treatment increased hope for an economic recovery following the outbreak.
The Dow Jones Industrials galloped 369.21 points, or 1.4%, to 26,075.30.
The S&P 500 forged ahead 32.99 points, or 1.1%, to 3,185.04
The tech-heavy NASDAQ vaulted 69.69 points to 10,617.44, yet another new record high, lifted by Amazon and Netflix.
Friday’s gains put the Dow up 0.9% for the week. The S&P 500 and NASDAQ were up 1.7% and 4.0% in that time period. For the year, the Dow is down 8.6%, and the S&P 500 has retreated 1.4%, while the tech-heavy NASDAQ is up more than 18%.
Gilead Sciences said its coronavirus treatment candidate, remdesivir, showed an improvement in clinical recovery and a 62% reduction in the risk of mortality compared with standard care. The news sent Gilead shares up more than 2%.
BioNTech’s CEO also told The Wall Street Journal the company’s coronavirus vaccine candidate could be ready for approval by December.
Shares of companies that would benefit from the reopening outperformed. American Airlines flew 6.8% and United popped 8.2%,, while Delta traded 5.6% higher. Cruise operator Carnival surged 10.8% after the company said it can break even in cash flow with capacity between 30% and 50%.
Netflix jumped 8% to a record after Goldman said it now sees a 30% rally over the next 12 months for the company. Amazon also gained 0.5% to an all-time high after Citi hiked its target on the e-commerce giant to a Street high of $3,550 per share.
JPMorgan was the biggest gainer in the 30-stock Dow, jumping 5.4%. Dow-component Goldman Sachs also rose 4.4%. Meanwhile, Citigroup gained 6.4%, and Wells Fargo rallied 5.9%. Big banks are set to kick off earnings season next week.
To be sure, some investors remain concerned as new coronavirus cases continue to pile up. The U.S. reported Thursday more than 63,000 additional coronavirus cases, a record. The country’s seven-day average now stands at more than 53,000 cases.
Prices for the 10-Year Treasury faded, raising yields back to 0.64% from Thursday’s 0.61%. Treasury prices and yields move in opposite directions.
Oil prices regained 88 cents to $40.50 U.S. a barrel.
Gold prices dropped $1.50 to $1,802.30 U.S. an ounce.