U.S. stocks continued to climb to record levels this week after many companies reported strong earnings and new economic data pointed to a rebound in consumer spending and the jobs market. New vaccine information was also released and cryptocurrency trading platform, Coinbase, was officially listed on the Nasdaq stock exchange.
Vaccine Developments – Early in the week, the USDA and CDC recommended a pause in the administration of the Johnson & Johnson vaccine, due to an increased risk of blood clotting in the brain. This pause is expected to be relatively short-term, as there have only been seven reported cases compared to over 7 million administered JNJ vaccines. Additionally, Pfizer CEO Albert Bourla announced that a third vaccine may be necessary 12 months after the second dose.
Market News – This week marked the first week of Q1 corporate earnings reports, and many big names posted stellar results. Financial names such as Goldman Sachs and Bank of America exceeded analyst expectations, while other non-financial names like UnitedHealth and Pepsi also surpassed estimates. In addition to positive earnings news, there was encouraging economic data as well:
Retail sales surged higher by 9.8%, compared to an expected growth rate of 6.1%
The Labor Department reported 576,000 new jobless claims, the lowest total since March 2020
Coinbase – Cryptocurrency trading platform Coinbase went public via a direct listing, with Coinbase CEO Brian Armstrong calling the listing “a shift in legitimacy not just for Coinbase but the whole industry”. The legitimacy of Coinbase stock, as an individual investment, can be debated. The stock price has swung wildly since going public on Wednesday. However, the direct listing is a definitive indicator of the growing popularity of cryptocurrency trading.
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