By Steve Goldstein
The rotation into the hardest-hit stocks from the COVID-19 pandemic continued for a second day in London, after the release of data showing a leading coronavirus vaccine candidate is 90% effective.
Cineworld /zigman2/quotes/206525056/delayed UK:CINE +6.55% , the operator of closed cinemas on both sides of the Atlantic, surged 32%. Oil services firm Petrofac /zigman2/quotes/202340229/delayed UK:PFC +4.69% , catering group SSP Group /zigman2/quotes/205370875/delayed UK:SSPG +4.53% , engine maker Rolls-Royce /zigman2/quotes/203646520/delayed UK:RR +3.20% and bus-and-rail operator FirstGroup /zigman2/quotes/202157466/delayed UK:FGP +1.80% also posted double-digit percentage gains.
The FTSE 100 /zigman2/quotes/210598409/delayed UK:UKX +1.15% , which surged close to 5% on Monday after the data from drugmaker Pfizer and its partner BioNTech, added another 1.2%.
Major oil companies BP /zigman2/quotes/202286639/delayed UK:BP +1.70% and Royal Dutch Shell /zigman2/quotes/206428183/delayed UK:RDSA +2.65% had another stellar day of gains to buoy the FTSE 100. AstraZeneca /zigman2/quotes/203048482/delayed UK:AZN +0.15% shares rose 3% as the pharmaceutical, which with the University of Oxford is developing its own COVID-19 vaccine, said a late-stage trial of its severe-asthma drug met its goal of a statistically significant and clinically meaningful reduction in exacerbation.
Persimmon /zigman2/quotes/206444744/delayed UK:PSN +2.34% , the U.K. home builder, fell 5%. Persimmon said business over the summer was “robust” and declared a second dividend, but it didn’t increase its guidance. Even with Tuesday’s decline, the stock is up nearly 10% over the last five days.