The stock markets suffered severe losses on Monday, ending the session in the red. However, several stocks rebounded shortly, even though the gains were moderate. The fear of pandemic due to the increasing rate of coronavirus infection caused the major sell-off on the market.
U.S. futures fell rapidly along with the Treasury yields, which rallied on Tuesday. The S&P 500 Index’s contracts lowered more than 1.5% after the U.S. administration failed to share the details about the “major” measures, which President Donald Trump promised the investors, saying they would help to combat the economic impact of the virus.
However, the Stoxx Europe 600 skyrocketed with all 19 industry sectors in the green, after almost 5% rally on Wall Street on Tuesday. The Japanese yen also rallied, but some of the Asian equities collapsed.
Meanwhile, Crude oil’s soil’s recovery from its biggest crash in a generation faltered after Saudi Arabia announced that it would boost production.
The Bank of England cut interest rates, causing the pound to fluctuate. The European Central Bank, on the other hand, is holding its policy meeting on Thursday. Experts think that it will also offer its measures to soften the epidemy’s impact on the global economy.
Look Over the Markets’ Wrap
Stocks – The S&P 500 Index fell by 1.9%. However, the Stoxx Europe 600 Index and the U.K.’s FTSE 100 Index gained 1.9% each. And the MSCI All-Country World Index changed a little.
Currencies – The Japanese yen soared by 0.6% to 104.98 per dollar, while the euro rose by 0.4% to $1.1323. The British pound gained 0.1% to $1.2929. The Bloomberg Dollar Spot Index, on the other hand, dropped by 0.2%.
Bonds – The yield on two-year Treasuries dropped by nine basis points to 0.44%, while the yield on 10-year Treasuries fell by nine basis points to 0.71%.
Commodities – Gold rose by 0.7% to $1,661.64 an ounce. But West Texas Intermediate crude fell by 0.6% to $34.16 a barrel.
