Shares in ‘stay at home’ firms fall as vaccine optimism increases after Moderna update
Shares have fallen in a number of businesses that have benefited from people working from home during lockdowns, as optimism about an effective Covid-19 vaccine improved.
US biotech firm Moderna today reported its Covid-19 candidate vaccine was 94.5% effective as it revealed early results from phase three clinical trials. The update comes after drugmaker Pfizer last week made a breakthrough on a Covid-19 vaccine.
Among the biggest fallers on the blue chip index was Ocado, 78p lower, or 3.42%, at 2205p.
Shares in Just Eat Takeaway were 2.64% lower and B&Q owner Kingfisher, which benefited from a DIY boom during lockdown, lost 1.1%.
On the FTSE 250 fallers included AO World, which sells fridges, TVs and laptops online. The shares decreased 20p, or nearly 5%, to 382p.
Russ Mould, investment director at AJ Bell, said: “Those firms whose business models were best-adapted to the pandemic and lockdowns, and were perhaps helped the most as everyone adjusted to working from home or being unable to travel or even go out, are now the ones whose shares are doing the worst. That includes Ocado, Just Eat Takeaway.com, Reckitt Benckiser, bookmaker Flutter, Games Workshop."
Many of the companies in demand today were ones that have been hurt by Covid-19 disruption and will stand to benefit if travel restrictions and lockdown rules relax.
Shares in British Airways owner IAG and InterContinental Hotels Group were among the biggest risers on the blue chip index.
