Stocks

Stock Markets Recover After their Collapse on Monday

The stock markets tumbled down on Monday, with futures and equities dropping to a record low. The new collapse was caused by the coronavirus. The infection rate reached such heights that the authorities are speaking about the pandemic.

The outbreak is hitting on markets and broader economies all around the world. The number of cases has topped 100,000 worldwide. Thus far, 728 cases and 26 deaths were reported in the United States early Tuesday morning.

However, after the last session’s massive sell-off, the markets rebounded moderately on Tuesday. The U.S. stocks gained more than 500 points after renewed virus fears. The main reason for such recovery was U.S. President Donald Trump’s statement.

The President proposed a payroll tax cut to help the hourly workers most affected by the coronavirus. This, coupled with other expectations of more stimulus measures elsewhere, boosted the futures this morning.

The Dow Jones rose again after Trump announced that he would press lawmakers to enact a payroll tax cut and ensure assistance is available to hourly workers. Before that, the stock ended Monday with its biggest point drop in history, closing down by 7.8% at 2,014 points.

Related Post

Nasdaq and S&P 500 futures also gained more than 2% each today. However, all three of them came very close to a bearish point.

What about European and Asian stocks?

European futures also opened higher after Monday’s collapse. In the opening minutes of trade, the French CAC 40, the FTSE 100, and Germany’s DAX were all trading approximately 1% higher.

In Italy, the main benchmark index rose almost by 1% after falling by 11% on Monday. Italy’s prime minister announced that the entire country would be on lockdown from Tuesday due to the increasing virus cases.

Meanwhile, Australia’s S&P/ASX 200 was up 3.1% yesterday. Such strong showing saved the index from becoming bearish. China’s Shanghai Composite also finished the day in green by 1.8%, while Hong Kong’s Hang Seng Index (HSI) was up roughly 1.5%.

Recent Posts

US Economy Growth Slows to 1.6% in First Quarter

Key Points: US economy growth slowed to 1.6% in Q1, below the expected 2.4%. Consumer spending growth tapered, but business…

2 days ago

Microsoft Revenue Hits $61.9B, Up 17% Year-Over-Year

Key Points: Microsoft's რevenue surged to $61.9 billion, a 17% increase driven by robust sales in all business segments. Notable…

2 days ago

Ethereum Stabilizes Below $3,180 Amid Market Caution

Key Points Ethereum is Trading below $3,180, under the 100-hourly SMA, indicating a cautious market trend despite the formation of…

2 days ago

Oil Prices Up: Brent Gains 2%, WTI Increases 0.5%

Key Points Oil Prices rose, Brent crude oil reached $89.32 per barrel, up 2%, and WTI at $83.86, up 0.5%.…

3 days ago

GBP/USD Drops to 1.2502 Amid Economic Turmoil

Key Points GBP/USD is currently at 1.2502, impacted by UK-US economic turbulence and monetary policies. US Q1 GDP growth at…

3 days ago

USD/INR Emerges as Steadiest Major Currency

Key Points: Despite global volatility, USD/INR is the least volatile major currency in FY 2023-24, supported by interbank USD sales…

3 days ago

This website uses cookies.