The Nasdaq Composite was holding up better than most of its peers, with futures falling 165 points to 16,201 as of 9 a.m.
The threat of a new and potentially more infectious COVID-19 variant led to a rapid response from many governments around the world, prompting travel restrictions on those from South Africa, where the new variant first appeared.
The reason for Moderna’s rise on Friday is clearly connected to the new COVID-19 variant.
In many ways, though, the challenges that face Moderna remain unchanged.
Today’s pop might well be warranted, but investors need to be prepared for continue volatility.
Meanwhile, Zoom Video Technologies posted a nearly 10% rise in pre-market trading Friday.
The loss of more than 60% in the stock price reached its nadir after its report of third-quarter financial results, which showed slowing revenue growth that threatened to stop entirely on a sequential basis.
As with Moderna, though, the strategic challenges Zoom faces aren’t going to get solved by prolonged concerns about new COVID-19 strains.
All in all, the big gains for both Zoom and Moderna shares appear to be kneejerk reactions from panicked traders on a day on which many professional investors are on vacation.