U.S. equity futures climbed up along with European and Asian stocks on Tuesday. Futures on the S&P 500 Index rose by 1.1%, and the Stoxx Europe 600 Index increased by 1.6%. Meanwhile, the MSCI Asia Pacific Index added 0.7%, and the MSCI All-Country World Index gained 0.5%.
The governments contemplated reopening their economies as the coronavirus pandemic slowed moderately in the number of countries. However, crude oil extended its plunge, as the demand remains low.
The S&P 500 index closed at its highest point since March 10 on Monday, and its contracts pointed to a firm start on Wall Street today. Oil futures had tumbled below $11 a barrel in New York but rebounded slightly soon. On the other hand, Treasuries drifted, and the U.S. dollar declined against all major currencies.
From the Stoxx Europe 600 Index’s futures, insurance and banking shares gained the most. However, all major national benchmarks rose.
How did Asian stocks fare?
Futures declined in Australia, while Japanese stocks finished the last session slightly higher. South Korean and Hong Kong equities rose in a choppy Asian session.
Investors are waiting for new reports which are due later this week. There is a lot to digest. The Federal Reserve and European Central Bank will announce policy decisions. Furthermore, some of the world’s biggest companies, among them Amazon.com, Apple, Microsoft Corp., Facebook, and Samsung Electronics, will release their earnings data.
Meanwhile, China’s top scientists stated that the novel coronavirus would not be eradicated. The authorities are monitoring infection rates across major economies, discussing how to restart activity. In Germany, new cases fell below 1,000 for the first time in more than five weeks.
Italy is preparing to begin reopening. It also reported the lowest levels of new infections in seven weeks. And Spain relaxed the lockdown today. On the other hand, the Trump administration planned a strategy to expand U.S. testing.
Still, investors are concerned about the outcome as the analysts warn that the process won’t be easy. After the massive collapse and increased unemployment rates, the global economy will probably require several years to recover.
