E Market Briefing For Tuesday, May 19

Overcompensation by the Fed for being an economic backstop helped, but that's pretty much already known (as well as their warnings of problems ahead, which is being discounted by markets), while clearly vaccine news, along with new therapeutics (we had both Monday Morning) has been my focus as 'key' to this market for actually several months at this point.

This goes beyond my saying that 'wherever the S&P is at when good news hits, it will soar', although that's what it did. You had an important revelation that the Moderna (MRNA) vaccine was triggering 'as high or higher' antibody levels in the 45 initial subjects (not merely a group of 8 that some media suggests as they try to tone-down the significance of this legitimate vaccine prospect at least as it stands now), and they they will do 'directly' to Phase III (that's as important as anything because it expedites probable progress now).

 (Good vaccine reports, always question thrusts by this or most biotech's.)

The good news is across multiple vaccine candidates, multiple products as I wrote about last week (and the weekend report mentioning Moderna first incidentally), and importantly therapeutic treatments that I anticipate really arriving on the scene by the middle of 'this' Summer; not simple later-on.  

It might be any of several clinical manifestations of 'cocktails' involving just plasma-derived antibodies; or other combinations (Solerna is one also now proclaiming a useful intervention for symptomatic but not yet-hospitalized patients). Combine all this and again you see why we allowed for set-backs from extended price levels (still do periodically) but are unwilling to fade or short this market (have not at all), because of our optimism that we'd get a key news item that confirms my belief that we were (and are) closer to the first of probably several viable vaccines that will provide sufficient immunity for 'life' to move toward a variation of normal, but hopefully with prudence.

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