Moderna Vaccine Trial Data Shows Promise
November 16, 2020
The Baker Hughes Rig Count Report called oil rigs up 10 to a total of 236 oil rigs. Last year there were 674 rigs.
I still think we have some tough months ahead and a lot of work to be done to get us to recovery. The news of the vaccine sent the market higher and the optimism has been high. The hope of the vaccine does give us a light at the end of the tunnel but currently we are in another tough spot. Other continue with strong optimism and here is a piece from Bloomberg editor Joe Wiesenthal that addresses some of the vaccine optimism. The economic recovery has proven to be faster and more durable than almost anyone anticipated back in the spring. However, we’re clearly far below potential now, with millions unemployed, so any sign that the risk is once again to the downside should be taken very seriously, especially by policy makers. We’re in a weird spot, because with progress towards a vaccine apparently moving swiftly, there’s arguably a bright light at the end of the tunnel. But the here and now is bad and getting worse. The entire premise of the initial relief back in the spring was that the Fed would calm the credit markets, and CARES would replace lost income, and it would all serve as a bridge to get to the other side when the virus is gone. Well the virus isn’t gone, but in several months it may be. We’ve seen that the relief model works. The case for building an extension bridge with another aid package to get us to the vaccine, while minimizing the damage in the here and now, is as strong as ever.
Headline this morning says Moderna’s preliminary trial date shows it coronavirus vaccine is more than 94% effective. This is more good news that the bulls jump on and the market is up a few cents in both gas and diesel in early trading.
The head of Democratic US President-elect Joe Biden’s coronavirus advisory board, Dr. Vivek Murthy, said there was no plan to shut the country down and that the new administration’s approach will be targeted at specific areas. This was also seen as a positive and also adding support to prices.