The US stock markets ended on Monday with significant gains after Friday’s losses. Investors drew on new figures that indicate some sort of flattening in the spread of the new coronavirus.
In some severely affected countries, the number of contamination cases seems to be on the decline.
The Dow-Jones index closed 7.7 percent higher at 22,679.99 points. The broad-based S&P 500 advanced 7 percent to 2,663.68 points, and tech fair Nasdaq gained 7.3 percent to 7,913.24 points.
Because of the economy itself, there was also news on a positive note. Former Fed chairman Janet Yellen made himself heard. She said unemployment in the US may now be around 13 percent in the last few weeks, due to the multimillion-dollar claims, but she says the country is still in a good starting position for recovery.
“This is very different from the great depression or recession in the US economy that we experienced in 2009 and beyond,” said Yellen.
JPMorgan Chase, among others, finished firmly in the plus, with a price gain of over 6 percent. In a letter to shareholders, the American bank has indicated that it still has sufficient capital and that it will, therefore, be able to take a beating. And cruise company Carnival won about a fifth in market capitalization, after it became known that an Arab investor has made a significant stake in the company.
Video conference company Zoom, on the other hand, fell sharply, as a result of which trading was halted. After one corporate privacy flaw after another hit the news, several companies and organizations have banned the use of Zoom.
In addition, due to the corona crisis, the plug was pulled from the proposed amalgamation of Woodward and Hexcel, two suppliers to the aviation and defence industry. Investors put Woodward more than 16 percent higher, while the Hexcel price fell 1 percent.
The euro was worth $ 1.0798, down from $ 1.0807 when the European stock markets closed earlier today. Oil prices fell due to the postponement of the video meeting of the oil countries about possible production cuts. A barrel of American oil became 7.4 percent cheaper at $ 26.24. Brent oil cost 3.1 percent less at $ 33.04 a barrel.