· Dow rallies more than 500 points on improving virus outlook, Amazon jumps to all-time high
Stocks jumped on Tuesday, resuming the market’s sharp rebound from last month’s lows, as investors grew more optimistic about the coronavirus outlook.
U.S. stocks jumped on Tuesday as optimism that the Trump administration could move to ease lockdowns from the coronavirus outbreak overshadowed worrying earnings reports from JPMorgan and Wells Fargo.
The Dow Jones Industrial Average rallied 558.99 points, or 2.4%, to 23,949.76. The S&P 500 climbed 3.1% to 2,846.06 while the Nasdaq Composite advanced nearly 4% to 8,515.74. The tech-heavy Nasdaq notched its first four-day winning streak since early February.
The S&P 500 was led higher by 4% rallies in tech, consumer discretionary and consumer staples. Amazon rose to an all-time high to lead the Nasdaq higher.
White House adviser Larry Kudlow said President Donald Trump would make a number of announcements about reopening the U.S. economy in the next day or two as the health crisis appeared to be ebbing, although some state governors have said the decision to restart businesses lies with them.
In New York state, an epicenter of the pandemic, total hospitalizations fell for the first time since the onset of the novel coronavirus outbreak, according to Governor Andrew Cuomo.
Analysts have warned of a torrid earnings season as the containment measures have brought business activity to all but a halt.
· European markets close higher as investors look to virus lockdown exit strategies
European markets closed higher Tuesday as investors looked for an exit strategy to the region’s coronavirus lockdowns.
The pan-European Stoxx 600 closed around 0.6% higher provisionally, with most sectors and major bourses in positive territory.
European countries, among those Italy and Spain that have been some of the worst affected by the coronavirus, are now looking to lift some restrictions on public life as the number of new infections and daily deaths has declined.
Spain allowed some construction and manufacturing sites and to reopen Monday and Italy is also allowing some businesses to reopen Tuesday. Meanwhile, Germany is considering how to implement a gradual recovery from the coronavirus pandemic, the country’s health minister told CNBC on Monday.
· Asia Pacific markets mixed as IMF flags risk of severe global recession
Stocks in Asia traded mixed on Wednesday morning as the economic impact of the coronavirus pandemic continued to weigh on investor sentiment.
South Korea stocks led gains among the region’s major markets, with the Kospi surging 1.72% in early trade while the Kosdaq index gained 2.28%.
Shares in Australia also saw gains, as the S&P/ASX 200 edged 0.2% higher.
Stocks in Japan, on the other hand, were negative. The Nikkei 225 dipped 0.73% as shares of Fanuc fell 2.21% while FamilyMart dropped 4.64%. The Topix index also shed 0.43%.
Overall, the MSCI Asia ex-Japan index traded 0.12% higher.
Reference: CNBC, Reuters
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