U.S. stock index futures fell late Thursday, leaving Wall Street on track for another week of losses. As of 9 p.m. Eastern, Dow Jones Industrial Average futures YM00, -1.21% were down more than 200 points, or 1%, while S&P 500 futures ES00, -1.17% and Nasdaq-100 futures NQ00, -1.20% slipped as well. Earlier, stocks gained in the regular session, with the Dow DJIA, +2.24% closing up more than 2% as President Donald Trump hinted at imminent production curbs by feuding oil giants Saudi Arabia and Russia. But investors may be bracing for Friday’s March jobs report, which is expected to be ugly though not fully indicative of the massive job losses caused by businesses shutting down due to the coronavirus pandemic. On Thursday, data showed that unemployment applications last week soared to a record 6.6 million.
Markets fell in early Wednesday trading in Asia as investors digested a steady drip of worrying news about the economic ramifications of the global coronavirus outbreak.
Major indexes in Japan, Hong Kong and South Korea were modestly lower midday, as financial markets settled into a slow grind of bad news. While the panic of recent weeks appeared to have subsided, numerous signs pointed to glum prospects for a quick recovery.
After Wall Street’s Tuesday close, President Trump said at a news conference that the United States would face “a very painful, very very painful two weeks.” U.S. government scientists projected that the outbreak could kill up to 240,000 Americans.
Futures markets predicted Europe and the United States would open lower later on Wednesday. Prices for long-term U.S. Treasury bonds, a traditional investment safe haven, rose, as did gold futures. Oil prices were mixed.
Considered an essential business, AutoZone stores will stay open as other companies around the country are forced to shut their doors. Here’s what the company’s doing to keep people safe during the pandemic.
As a cautionary measure taken due to the COVID-19 pandemic, the Memphis-based auto parts retailer is no longer allowing employees inside customers’ cars. Now, the customer is the one using an OBD (on-board diagnostics) reader to get an engine light reading, while the employee guides them through the process.
The step is one of the many AutoZone has taken in the wake of the coronavirus outbreak, as part of an effort to protect both customers and employees. Considered an essential business, its stores will stay open as other companies around the country are forced to shut their doors.
“You know, it’s an extremely difficult time for everybody,” said David McKinney, VP of government and community relations for AutoZone. “As an essential business, we understand the role we must play during these tough times.”
In addition to keeping employees outside of customer vehicles, the company has adjusted hours for most stores — with the exception of hub stores and mega hub stores. Shops will open at either 7:30 a.m. or 8 a.m. — depending on the location — and close at 6:30 p.m.
Comparatively, stores typically close at 9 p.m. or 10 p.m.
Employees must now wear gloves at all times, and disinfect the store — especially shelves, parts, counter tops, and other areas that receive a lot of contact.
Only 10 people are allowed in the store at a time.
The mandatory lockdown in Wuhan, China — the city where the global coronavirus pandemic began — will be lifted starting on April 8, the government announced Tuesday. China barred people from leaving or entering Wuhan, the capital of Hubei province, starting January 23 and expanded the order to most of the province in the days that followed.
While Wuhan itself still has two weeks of lockdown to go, some local operations are beginning to get back to business. Two car factories in the city started their production lines again on Monday, according to South China Morning Post.
Dow futures spiked after Trump’s top economic advisor Larry Kudlow unveiled a gigantic $6 trillion stimulus package for the U.S.
- Dow futures rallied after Donald Trump’s top economic adviser unveiled a massive $6 trillion stimulus package for the U.S. economy.
- These gains rapidly faded, as the stock market failed to move higher after a historic day for the Dow Jones on Tuesday.
- Worryingly for Wall Street, there doesn’t appear to be a Plan B if the fiscal package doesn’t push stocks higher longer-term.
After the largest single-day point rally in the history of the Dow Jones, the stock market failed to extend the move overnight despite a brief spike.
The volatility came after President Trump’s top economic adviser touted an incredible $6 trillion stimulus package for the United States.
Dow Futures Fall After Historic Rally
All three of the major U.S. stock futures indices popped and dropped Tuesday evening, after initially rallying in the wake of a multi-trillion-dollar stimulus announcement.
In the commodity sector, the price of oil ticked up 2.5% above $24 a barrel, while gold continued its impressive rally with another 1.5% gain.
WASHINGTON — An emergency stimulus package to bailout the U.S. economy amid the coronavirus pandemic will total $6 trillion — a quarter of the entire country’s GDP, the White House said Tuesday.
Trump administration economist Larry Kudlow said the package would include $4 trillion in lending power for the Federal Reserve as well as a $2 trillion aid package currently being hammered out by Congress.
“This package will be the single largest main street assistance program in the history of the United States,” Kudlow said at the White House coronavirus task force briefing on Tuesday evening.
Included in the package is Congress’ almost $2 trillion emergency bill which, when passed, will issue direct checks for American families, bailouts for the airline industry and a $350 billion loan program for struggling small businesses.
The other $4 trillion will allow the Federal Reserve to make huge emergency bailouts to whatever entity it chooses — a measure that was used to prop-up Wall Street firms from collapse during the 2008 financial crisis.
Strong showings from Chevron (CVX), American Express (AXP), Nike (NKE) and Boeing (BA) in the stock market today lifted the Dow Jones industrials to a gain of around 8.5%. The S&P 500 and Russell 2000 small-cap index rallied nearly 6.3% each, and the S&P 500 jumped more than 7%.
But one day of explosive gains doesn’t mean a new bull market is upon us. The stock market still needs to prove itself with a follow-through day.
Some of the worst performing industry groups in IBD’s database in recent weeks were some of the best gainers Tuesday. IBD’s airline group soared more than 20% amid hopes for a coronavirus stimulus package. American Airlines (AAL) was a top percentage gainer in the Nasdaq 100, up more than 25%.
Casino operators, which have been thrashed just as hard as airlines stocks of late, also rallied sharply. Gold miners and homebuilders also outperformed.
New York (CNN Business)Asian markets and US stock futures fell on Monday as a massive stimulus package to help Americans handle the coronavirus pandemic hit a major stumbling block.Dow () futures fell more than 900 points, hitting a 5% decline that triggered a maximum allowable limit, or “limit down.” That halted futures from falling further.S&P 500 () and Nasdaq ( ) futures also fell around 5%, and were last sitting at 4.8% and 4.4%, respectively.Senate Democrats blocked movement on an economic stimulus package, citing ‘serious issues’ with the bill. That injected fresh uncertainty over whether and when lawmakers will reach a bipartisan deal to deliver relief amid the pandemic.
BY ANDREA SHALAL AND Susan Heavey
WASHINGTON (Reuters) – The lockdown affecting large segments of the American public to try to curb the spread of the coronavirus is likely to last 10 to 12 weeks, or until early June, U.S. Treasury Secretary Steven Mnuchin said on Sunday.Americans are adapting to the biggest change in daily life since World War Two with schools closed, sports canceled and economic upheaval as job losses mount with the shuttering of businesses across many industries.
Hospitals are scrambling for protective equipment for healthcare workers and ventilators as they brace for a wave of patients who will need help breathing. U.S. cases climbed to over 25,000 on Sunday morning and at least 325 people have died, with about half the cases in New York state, according to a Reuters tally. (Graphic: https://tmsnrt.rs/2w7hX9T)
The virus has killed over 13,000 globally and infected more than 300,000.
PITTSBURGH (KDKA) — The official newspaper of the Catholic Diocese of Pittsburgh has reportedly terminated all of its employees.
According to KDKA’s news partner, the Pittsburgh Post-Gazette, the news came during a conference call on Thursday.
“We were all terminated permanently,” John Franko, a reporter who has been at the paper for nearly 30 years told the Post-Gazette.
“We were expecting layoffs, but this came as a shock. I guess they did what they had to do.”
“We didn’t really expect to completely lose our jobs,” said Bill Cone, editor of the newspaper, to the Post-Gazette.
Various reports hit the news feeds today quoting a deliberately headline-grabbing statement by Paul Sankey, managing director at Mizuho Securities, in which he is reported as saying, “Oil prices can go negative.” That is, they could as a combination of Saudi Arabia (and Russia) flooding the market with increased oil and the market running headlong into COVID-19-induced curtailment of activity that is suppressing consumption, which combined will create the perfect storm of excess supply.
In reality, inventory levels are already rising.
CNN quotes Sankey, who said global oil demand is only around 100 million barrels per day.
However, the economic fallout from the coronavirus pandemic could crash demand by up to 20 percent.
This would create a 20 million barrel-per-day surplus of oil in the market that would rapidly exceed storage capacity, forcing oil producers to pay customers to buy the commodity – hence, in effect, negative oil prices.
The American government plans to purchase a total of 77 million barrels of oil starting within weeks the article states, but according to Sankey, this can only be done at a rate of 2 million barrels per day, leaving a massive excess that will be looking for a home.
Government directives to close businesses and restrict people’s activities in an effort to stem the spread of coronavirus infections and deaths will impact more than a half-million workers in the Pittsburgh region, a top local economist predicts.
And the pain will be spread across virtually all industries in the seven-county region.
“Many of the most vulnerable industries will likely be laying off workers without pay,” leading to a “significant increase in the number of unemployed workers,” said Christopher Briem, a research economist with the University of Pittsburgh’s Center for Social & Urban Research.
Treasury Secretary Steven Mnuchin announced Friday that the deadline for filing federal taxes will move from April 15 to July 15 — a move to ease the burden the coronavirus outbreak has put on individuals and the economy.
“At @realDonaldTrump’s direction, we are moving Tax Day from April 15 to July 15. All taxpayers and businesses will have this additional time to file and make payments without interest or penalties,” he tweeted.
He clarified that taxpayers could still file for refunds now, tweeting: “I encourage all taxpayers who may have tax refunds to file now to get your money.”
The Dow rose about 190 points on Thursday, rebounding from its three-year low hit in the previous session. The strong performance in tech and energy sectors kept the market afloat. The mega-cap tech stocks were among the biggest winners Thursday with Netflix and Facebook surging 5.2% and 4.2%, respectively. Amazon climbed 2.7%. The S&P 500 ended the day up 0.5%, while the tech-heavy Nasdaq rose 2.3%. The S&P 500 energy sector jumped 6.7% on the back of oil’s best day ever.
- Global stocks plunged on Monday morning, despite a decision from the Federal Reserve to cut rates by 100 basis points on Sunday night.
- Markets seem to be ignoring the global coordinated response from central banks as sell-off deepens.
- On Sunday night, the Fed slashed its benchmark interest rate by 100 basis points to near zero. The Fed’s key rate is now 0% to 0.25%, matching the record low it was last at in 2015. The Fed also announced it will increase its bond holding by $700 billion.
The Trump administration has slashed federal interest rates as part of an effort to stabilize the economy following a rocky week on the financial markets.
The U.S. Federal Reserve cut interest rates to near-zero, the second time that the central bank has cut interest rates in as many weeks. The Federal Reserve also launched a $700 billion quantitative easing program to help prevent a further economic downturn sparked by the spread of coronavirus.
A statement said the bank will maintain its interest rates “until it is confident that the economy has weathered recent events and is on track to achieve its maximum employment and price stability goals.”
- The new coronavirus, which first emerged in the Chinese city of Wuhan last December, has infected more than 110,000 people in at least 110 countries and territories globally, according to the World Health Organization.
- The virus outbreak has become one of the biggest threats to the global economy and financial markets.
- Major institutions and banks have cut their forecasts for the global economy, with the Organisation for Economic Co-operation and Development being one of the latest to do so.
- Meanwhile, fears of the coronavirus impact on the global economy have rocked markets worldwide, with stock prices and bond yields plunging.
- U.S. stock futures were volatile in overnight trading, after the major averages on Thursday suffered their worst sessions since the “Black Monday” market crash in 1987.
As of 1:17 a.m. ET Friday, futures on the Dow Jones Industrial Average were up 617 points, implying an opening gain of 504.38. points for the index. S&P 500 futures and Nasdaq-100 futures also turned around, pointing to opening gains for the indexes.
Earlier in the session, Dow futures had indicated an opening loss of 700 points at the lows.
The major futures indexes are indicating a decline of 2 percent.
Stocks were mostly lower in Asia on Wednesday despite gains on Wall Street on hopes the Trump administration will act to cushion the economic pain of the coronavirus outbreak.
Japan’s benchmark Nikkei lost 2.3 percent, Hong Kong’s Hang Seng dropped by 0.6 percent and China’s Shanghai Composite was off 0.9 percent.
The Bank of England unexpectedly cut interest rates by half a percentage point to 0.25% on Wednesday in a move to bolster Britain’s economy against disruption caused by the coronavirus outbreak. That helped send European markets higher.
London’s FTSE added 0.9 percent, Germany’s DAX gained 1.8 percent and France’s CAC was higher by 1.9 percent.