Stocks, Futures Rise, in Positive Sign for U.S. Markets
April 06 2020 - 1:02AM
Dow Jones News
By Xie Yu
Global markets rose on Monday, with several stock indexes in the
Asia-Pacific region adding more than 2% and S&P 500 futures
rising, suggesting U.S. markets could also gain ground later in the
day.
By late morning in Hong Kong, Australia's benchmark S&P/ASX
200 index had gained 2.9%. Japan's Nikkei 225 rose 2.6%, and South
Korea's Kospi Composite advanced 2.2%. The local benchmark Hang
Seng Index rose 1%
E-mini S&P 500 futures rose 3%. The yield on the 10-year
U.S. Treasury note rose to 0.624%, up from 0.587% on Friday. Yields
move in the opposite direction from bond prices.
On Sunday, New York reported its first one-day decline in deaths
caused by the new coronavirus, although Gov. Andrew Cuomo said it
was too early to understand the significance of that number. New
York is the U.S. state with the most confirmed cases.
Some daily death tolls for Covid-19, the respiratory disease
caused by the coronavirus, fell in Western Europe, with Italy
reporting the fewest deaths in more than two weeks. France reported
the lowest number in five days and Spain's tally fell for three
days in a row.
"A sense of eagerness to see a turn in the spread of the virus
and economic growth is driving the market today," said Govinda
Finn, an economist at Aberdeen Standard Investments. However, Mr.
Finn added: "I wouldn't have massive confidence that we are there
yet, so I think the rally probably won't last long."
Markets in mainland China were closed for a holiday.
Brent crude, the global oil benchmark, fell 2.4% to $33.29 a
barrel.
A 23-nation alliance led by Saudi Arabia and Russia was due to
debate world-wide production cuts of 10 million barrels a day on
Monday and had hoped to include the U.S. as the coronavirus
outbreak continues to erode oil demand. But the virtual meeting was
delayed after Saudi Arabia and Russia swapped barbs and the U.S.
failed to outline production cuts of its own.
Major U.S. indexes registered modest declines last week, while
bonds continued to rally. The yield on the 10-year U.S. Treasury
note fell for a third straight week, as investors rushed into safer
assets.
Write to Xie Yu at Yu.Xie@wsj.com
(END) Dow Jones Newswires
April 06, 2020 00:47 ET (04:47 GMT)
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