Ridiculed Value-Stock Bets Look Brilliant on Vaccine News
- Russell 1000 Value outperforms Nasdaq 100 by most since ‘08
- Financials, airlines and cruise companies lead Monday’s rally
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Much-maligned value stocks are surging after a potential breakthrough in the race for a Covid-19 vaccine ignited a global risk-asset rally.
The Russell 1000 Value Index rocketed 5.7% higher on Monday, the most since early April, after a large-scale study of the Covid-19 vaccine being developed by Pfizer Inc. and BioNTech SE showed it prevented more than 90% of infections. That cohort is outperforming the tech-heavy Nasdaq 100 Index by the most since 2008 as the stay-at-home trade stumbled, led by a plunge in Peloton, Netflix and Zoom.