· Wall Street climbs on stimulus hopes, as S&P, Nasdaq hit multi-month highs
The three major averages on Wall St. notched their fourth gain in five sessions on Wednesday as investors again bet on a swift economic recovery from coronavirus-driven lockdowns and the potential for more stimulus measures from the Federal Reserve.
The S&P 500 stands at a two-month high and was briefly above its 100-day moving average, a closely watched technical indicator that has acted as a resistance level. The Nasdaq finished at its highest close in three months and was 4.5% below its Feb. 19 record close, as shares of Facebook Inc and Amazon.com Inc surged to all-time highs.
The Dow Jones Industrial Average rose 369.04 points, or 1.52%, to 24,575.9, the S&P 500 gained 48.67 points, or 1.67%, to 2,971.61 and the Nasdaq Composite added 190.67 points, or 2.08%, to 9,375.78.
Lawmakers in the U.S. House of Representatives plan to vote next week on giving small businesses more time to utilize their coronavirus aid under the Paycheck Protection Program, House Speaker Nancy Pelosi said on Wednesday.
· European stocks close 1% higher as investors monitor earnings and reopening efforts
European stocks closed higher on Wednesday as investors monitored corporate earnings as well as efforts to gradually open up economies.
The pan-European Stoxx 600 index closed 1% higher provisionally, with tech stocks rallying over 2% to lead gains as all sectors and most major bourses entered positive territory.
European markets are attuned to the latest coronavirus developments Wednesday with efforts to develop a vaccine and the prospects for economic recovery in focus. It comes as many countries tentatively ease lockdown measures.
· Asia Pacific stocks mixed as China keeps benchmark lending rate unchanged
Stocks in Asia Pacific were mixed on Wednesday as China’s benchmark lending rate was left unchanged.
In Japan, the Nikkei 225 rose 0.79% to close at 20,595.15 while the Topix index gained 0.58% to end its trading day at 1,494.69. South Korea’s Kospi ended its trading day 0.46% higher at 1,989.64.
Mainland Chinese stocks edged lower on the day, with the Shanghai composite 0.51% lower at around 2,883.74 and the Shenzhen component down 0.94% to 10,948.48. Hong Kong’s Hang Seng index dipped0.1%, as of its final hour of trading.
Over in Australia, the S&P/ASX 200 gained 0.24% to close at 5,573.
Overall, the MSCI Asia ex-Japan index was slightly higher.
· BoT cuts key rate to 0.50%
The Bank of Thailand cut its policy rate by 25 basis points to a record low of 0.50% on Wednesday, to help soften the economic impact of the pandemic and social distancing measures.
The central bank's Monetary Policy Committee (MPC) voted 4-3 at Wednesday's meeting to lower the one-day repurchase rate, with the three dissenters preferring a steady rate.
It was the fifth cut since August last year. The MPC had kept the rate steady at its last meeting after a 25-basis-point cut at an emergency meeting on March 20.
"The Thai economy is likely to contract at a deeper pace than previously predicted and the committee considered that the right relief measures, launched in a timely manner, will help cushion some impacts," MPC secretary Titanun Mallikamas said.
The economy is heading for recession after shrinking 1.8% year-on-year in the first quarter, the deepest contraction since the flood-hit fourth quarter of 2011.
Reference: CNBC, Reuters, Bangkok Post
Thai
Eng