UK approves use of Pfizer-BioNTech vaccine, to be made available across the country starting from next week
The decision here has been on the cards for the past few days but it is finally confirmed, with Pfizer also reminding the market that it is also almost certainly going to be gaining approval from the US and EU some time this month as well.
There isn't any major risk-on shift to the market mood but all of this will keep investors buoyed as vaccine developments are proceeding as they should, following all of the optimism that was baked in during November trading.
While the early usage may be more geared to frontliners and high risk groups, it doesn't take away from the fact that we are starting to see more light at the end of the pandemic tunnel as 2020 starts to draw to a close.
There might be some year-end rebalancing in equities/risk trades to contend with but as long as investors continue to be more forward-looking, it is tough to argue against all the vaccine optimism if they are keeping to the script.
For today, the market seems to be taking a bit of a breather after starting December with a bang. The latest Pfizer vaccine news is more clearly felt by the bond market but even the moves there are relatively modest at best.
Cable got a slight lift from 1.3408 to 1.3425 but isn't really breaking stride on the day.
