"Rising Covid Variant Concerns Drive Surge in Vaccine Stocks Ahead of Fall Rollout"
Shares of Covid vaccine makers, including Novavax, Moderna, BioNTech (in partnership with Pfizer), and Pfizer, rose as new variants of the virus, such as EG.5 and BA.2.86, emerge in the U.S. ahead of the rollout of updated shots this fall. While these variants may have some ability to evade immunity from previous vaccinations and infections, the new shots are expected to provide protection. However, it remains unclear how well the new shots will protect against the BA.2.86 variant, which has 36 mutations distinguishing it from the currently dominant XBB.1.5 variant. The emergence of BA.2.86 could potentially increase demand for vaccines and treatments that offer some degree of protection against the highly mutated variant.