Episode 48: Dow hitting over 800 points and DoorDash set to IPO.
Market News
The market surged on Monday with the Dow rising over 800 points in the biggest rally in 5 months. The record highs on Monday were based on news from Pfizer and BioNTech that their coronavirus vaccine is more than 90% effective. The big market rotation into value and out of growth continued all week with JPMorgan believing the current rally is just beginning. JPMorgan’s Marko Kolanovic is not worried about the financial fallout from the latest surge in coronavirus cases.
Zoom vroom; Nuro, a creator of autonomous delivery vehicles, has reached a $5 billion valuation after raising $500 million in Series C funding. Nuro has developed a small last-mile delivery vehicle that operates without human drivers. In February, the company received an autonomous vehicle exemption from the US Department of Transportation and is currently operating its vehicles in three states. Nuro has partnerships with brands including CVS, Walmart and Domino's.
Going all bear market on China: The Trump administration issued an executive order on Thursday afternoon that effectively bans Americans from investing in Chinese companies that support their military, a move that further escalates already high tensions between the world's two largest economies. The list of banned companies includes popular smartphone-maker Huawei, as well as China Telecom Corp and China Mobile, which trade on the New York Stock Exchange.
Friday Market Close
Dow 30 29,479.61 +399.44 (+1.37%)
S&P 500 3,585.19 +48.18 (+1.36%)
Nasdaq 11,829.29 +119.70 (+1.02%)
IPO
DoorDash is set to IPO next month with an amazing message from their Founder, Tony Xu, which they shared in their S1!
We started DoorDash to help people like my Mom.
I was five years old when I immigrated from China with my parents. Like many immigrants, my family came to this country to pursue the American Dream. Dad came to pursue a Ph.D. in Aeronautical Engineering from the University of Illinois at Urbana-Champaign. Mom hoped she could retain her job as a doctor, her occupation in China, but the odds were against her. The United States didn’t recognize her Chinese medical license and with only $250 to our family’s name, putting her through school again was impossible. But that didn’t stop her.
Mom put food on the table by working three jobs a day for 12 years. One of those jobs was as a server at a local Chinese restaurant, where I got a front row seat as a dishwasher. For Mom, working at a restaurant was a means to an end. After deferring her dreams for more than a decade, she saved enough money to return to school and open her medical clinic, which she still runs more than 20 years later.
DoorDash exists today to empower those like my Mom who came here with a dream to make it on their own. Fighting for the underdog is part of who I am and what we stand for as a company. Having spoken to countless merchants since DoorDash was founded in 2013—from a Mom and Pop store like Oren’s Hummus to the General Managers of Chili’s (aka “ChiliHeads”)—I am humbled by their relentless drive to create and build, and their contribution to their communities.
We have an amazing interview coming with Carlos Mosquera, founder of Mesada, that we will launch next week! Have a great weekend.