Stocks have been changing rapidly as more news about COVID-19 is released. Streaming companies such as Netflix have seen major growth during the quarantine. Prior to the pandemic, Netflix had 167 million subscribers worldwide, according to an April 19 CNN article. That number has grown by around 7 million subscribers since its last quarter between January and March. Netflix’s stock is up 30% this year and on April 19 it reached a record high market value of $193 billion. Disney has seen losses due to its parks being closed, but its new streaming service, Disney+, has reached over 50 million subscribers.
“I’ve been so impressed with Disney+’s execution,” Netflix CEO Reed Hastings said in Julia Horowitz’s April 22 CNN article. “My hat’s off to them.”
Airlines have seen drastic drops in stock prices and revenue. Delta Air Lines reported its first loss in five years. The company lost $534 million between January and March of 2020. Miles flown by paying passengers fell by 17% and fares fell by the end of the quarter, according to an April 22 CNN article.
“The first quarter of 2020 has truly been like no other in our history,” Delta Air Lines CEO Ed Bastian said in Chris Isidore’s April 22 CNN article.
4.4 million unemployment claims filed by Americans by April 18 affected the economy, resulting in the market not changing very much on April 23. In total, 26.5 million Americans have filed for unemployment benefits since March. Not all claims will result in benefits, however. Some will be rejected due to requirements such as minimum earnings, according to Anneken Tappe’s April 23 CNN article. Since mid-March to late April, unemployment claims have caused the economy to lose all job gains it has made since the Great Depression.
Roy Franklin, a freshmen business management major at UAA, has seen the changes in the stock market during COVID-19 while investing.
“I have noticed the change in stocks. They are more towards the entertainment platform and definitely away from some major companies that provided jobs before but now are dropping because of the unemployment rates,” Franklin said.
Indexes such as the Dow Jones Industrial Average, Nasdaq and S&P 500 hold a compilation of stocks and allow investors to invest and track companies.
April 23 market updates:
- Dow opens 87 points up
- S&P 500 started off 0.4% higher
- Nasdaq opened 0.3% high
- Amazon stock was up 1.9% in early trading
- Gap shares dropped 5% in premarket trading
- Oil stocks rose for the second day
- Target’s stock went down 5% in premarket trading
For more information on COVID-19 and the stock market, visit CNN.com.