What happened

Social media and gig economy stocks rallied on Wednesday. By the close of trading, shares of Pinterest (NYSE:PINS), Upwork (NASDAQ:UPWK), and Fiverr International (NYSE:FVRR) were up 7%, 14.2%, and 17.7%, respectively.

So what 

After Pfizer and BionTech reported exciting results from their phase 3 clinical trial for their coronavirus vaccine candidate on Monday, many investors sold stocks that performed well during the COVID-19 crisis and bought companies that could benefit from an economic recovery.

A person is pointing to a digital chart that rises, then falls, then rises again.

Gig economy and social media platforms rebounded after declining earlier in the week. Image source: Getty Images.

On Wednesday, investors apparently decided the sell-off was overdone -- and the resulting buying frenzy drove shares of Pinterest, Upwork, and Fiverr sharply higher. 

Now what 

It's true that the coronavirus pandemic is accelerating the trend toward freelancing, but the gig economy was growing rapidly even before COVID appeared. Platforms like Upwork and Fiverr that connect freelancers with businesses seeking their services are likely to see an influx of new users in the coming years, regardless of whether a coronavirus vaccine helps to end the health crisis sooner than expected.

Moreover, while social media networks have experienced higher user engagement during the pandemic, a vaccine is unlikely to slow their long-term growth. In fact, Pinterest could see a rebound in advertising spending in areas such as travel and entertainment once the COVID-19 crisis subsides.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.