The unprecedented coronavirus-induced volatility continues on Wall Street.
U.S. financial markets spiked early Tuesday, as the unprecedented coronavirus-induced volatility continues to roil Wall Street.
The Dow Jones Industrial Average was up by more than 1,000 points at the market’s open, or more than 5.7%. The S&P 500 and Nasdaq both similarly spiked by more than 5%.
The rally comes as U.S. Treasury Secretary Steven Mnuchin and Senate Minority Leader Chuck Schumer said they are “very close” to an agreement on a massive stimulus package to save the national economy from the detrimental impact of the coronavirus pandemic.
Overnight, futures on U.S. financial markets rose during premarket trading, briefly hitting their “limit-up” trading thresholds.
On Monday, equity markets tumbled on news that the stimulus package was being held up by Democratic lawmakers in its current form. The Dow closed down by more than 3%, and the S&P 500 and Nasdaq saw similar losses.
As the COVID-19 health crisis increasingly becomes a financial one as well, the Federal Reserve has pulled out all the stops to ameliorate the economy. Meanwhile, all three major U.S. indices have plunged into bear market territory.
