© AFP 2020 / JEWEL SAMAD
US stocks made massive gains Tuesday on the news that US Senate lawmakers were on the verge of wrapping up talks on a fiscal stimulus bill – just one day after the Dow Jones Industrial Average and the S&P 500 indices marked their worst first-quarter reports on record amid the COVID-19 pandemic.
At closing bell, the Dow made gains of 2,112.98 points, and the S&P 500 saw a 209.93-point increase. The Nasdaq Composite soared by 557.18 points into green territory. Both European and Asian markets also reported huge gains Tuesday as a result of the US Federal Reserve’s actions to assist the economy and news of Italy experiencing a slowdown of its COVID-19 infection rate.
With a more than 11% rally, Tuesday’s figures mark the biggest one-day percentage gain by the New York Stock Exchange since 1933.
Oil prices, meanwhile, struggled to hold onto gains throughout the day as prices shifted between red and green territory in the hopes that a possible US stimulus package could weaken the economic impact of the novel coronavirus outbreak.
Sean Darby, a global equity strategist, recently suggested in a note seen by CNBC that market volatility is likely coming to an end, explaining that a number of “risk indicators are peaking with only credit spreads misbehaving.”
Similar sentiments were expressed by Michael Novogratz, the CEO of Galaxy Digital, during the latest showing of the financial outlet’s “Squawk Box” morning program.
“From a market perspective … it feels like we’re coming to the end of it,” he said. “It doesn’t necessarily mean the market’s going to go up, but a lot of that crazy volatility is kind of coming out.”
US Senate Stimulus Package
Despite promises to finalize a stimulus package Monday,