Wall Street equities climbed overnight amid the renewed hopes the coronavirus outbreak was close to its peak after President Donald Trump said the United States might be getting to the top of the curve in relation to the pandemic. Besides, Democrats in Congress said they would back the Trump administration’s request for $250 billion more in aid for small businesses on the condition that it includes additional funding for hospitals and local authorities. The S&P 500 and Dow Jones Industrial Average rose nearly 3.5% while the Nasdaq climbed 2.6%.
In Asia, stocks gained as well, driven by hopes that coronavirus is peaking while oil prices surged modestly on expectations of a production cut by OPEC+ countries. MSCI’s broadest range of Asian shares excluding Japan climbed 0.73% while Japan’s Nikkei 225 dipped 0.33% as coronavirus cases rose in the country. Also, the Bank of Japan said that the coronavirus outbreak is having a serious impact on the domestic economy and that the global economic outlook remains very unclear.
European markets opened higher on Thursday after a decent rally on Wall Street as policymakers across the globe discuss how to re-open their economies. in the UK, the government has warned that the coronavirus outbreak in the country could peak over the Easter weekend. The German health minister noted that infection numbers are showing a more positive trend, and if that continues, then the government can talk about a gradual return to normality after the Easter break. Meanwhile, the Spanish prime minister noted that virus data was encouraging, and the country is close to the beginning of a decline.
In other markets, oil prices are climbing cautiously ahead of the OPEC+ negotiations. According to the latest reports, Russia is ready to cut production up 2 million barrels per day maximum under any global pact. Yesterday, Moscow said it is prepared to cut oil output by about 14% of its Q1 average or 1.6 million barrels per day. So, Bret crude rose on fresh headlines amid rising hopes for a consensus among major producers. The futures are now challenging the $34 figure and could rally towards $40 if the exporters manage to take a decisive coordinated step to stem the decline in prices amid the weakening energy demand.
