Vaccine news unleashes new momentum in stock market as hunkered-down investors flee cash

Stocks skyrocketed and bond yields surged as investors bet Pfizer’s Covid-19 vaccine will help the broader economy recover and revive cyclicals and other industries that were beaten down by the pandemic.

The Dow was up nearly 3%, while Nasdaq fell 1.5 as laggard sectors like energy and financials outperformed tech. Stay-at-home plays, like Netflix and Zoom were sharply lower, but airlines rallied 16%. The S&P energy sector, still down 45% this year, was up more than 14%, and financials were up 8%.

Pfizer announced earlier Monday that its vaccine is more than 90% effective, and while it will not be broadly distributed for months, investors bet that the economy will reopen and people will travel, return to…