Subscribe to ourLONDON, May 25 — US stocks opened higher today following a strong showing in Europe, lifted by in-demand tech shares and further positive news from Moderna on its coronavirus vaccine’s effectiveness in teenagers.
Tech firms are “buoyed by the recent reprieve in the spike in interest rates... as ramped-up inflation worries seem to be cooling a bit,” Charles Schwab analysts commented. Schwab pointed to Moderna’s announcement earlier Tuesday that its mRNA shot against Covid-19 was “highly effective” at preventing the disease in teenagers, and that it would apply for authorisation for the age group from US and global regulators “in early June”.Bitcoin gave up some of its gains after another wild day, after a rally following a supportive tweet from tycoon Elon Musk that offset fresh Chinese warnings of a crackdown on cryptocurrencies.
The gains helped chip away at recent losses in the tech sector, which has taken the brunt of selling on concerns that surging inflation will force central banks to hike interest rates sooner than expected.