In late July, there was very good news with COVID, the US government signed a $1.95 billion contract to buy 100 million doses of a COVID-19 vaccine being developed by Pfizer and German biotech BioNTech if it proves safe and effective.
In an article by Michael Erman and Ankur Banerjee of Reuters, the Trump administration has agreed to spend billions of dollars for the development and procurement of potential vaccines under its Operation Warp Speed program.
At the moment, at least 160 drugs are underdevelopment and everyone is hoping for the same results, however what is good in Phase 1 is not necessarily good in Phase 2 because the sample size increases and the likelihood of side effects shows. Normally there is a Phase 3 which is a larger sample size and even the smallest side effect of the drug shows up. This time around if a drug passes Phase 2, then it will likely go into production and we will see.
In the US, who pays is important and if the vaccine is successful, will be made available to Americans at no cost, although their health insurance may be charged, the US Department of Health and Human Services said. The drug by Pfizer, in Phase 1 received 2 doses or 50 million Americans would be given the vaccine at a cost of $39.
There are variety of companies which are producing vaccines which the US government have signed agreements such as Moderna, Astra-Zeneca and Novavax.
Linking to dividend paying stocks, which the vaccine is declared good and available for the public, all companies share prices will rise and the world will move towards normal. The issue will be what will be normal before the shutdowns by the government and after the opening will have changed. It is highly expected for the next 6 months people will be using e commerce rather than walking into a store. We shall see, but will occur again are Festivals and Entertainment which help bring people together. When we hear politicians talk about government deficits you will know normal has returned.
There are more questions than answers, till the next time – to raising questions.