US Stocks Jump 5%, Rebounding From Worst Week Since 2008 Financial Crisis

US Stocks Jump 5%, Rebounding From Worst Week Since 2008 Financial Crisis

Wall Street's main stock indexes jumped about 5 percent, rebounding from their biggest weekly loss since the 2008 financial crisis, as central banks in the United States to Britain and Japan promised stimulus to save the global economy from the coronavirus

NEW YORK (Pakistan Point News / Sputnik - 03rd March, 2020) Wall Street's main stock indexes jumped about 5 percent, rebounding from their biggest weekly loss since the 2008 financial crisis, as central banks in the United States to Britain and Japan promised stimulus to save the global economy from the coronavirus.

The Dow Jones Industrial Average, the broadest equities gauge on the New York Stock Exchange, closed up 5.1 percent at 26,703 on Monday. The index lost 12.3 percent.

The S&P500, a barometer for the top 500 US stocks, settled up 4.6 percent at 3,090. Last week, it suffered a drop of 11.5 percent.

The tech-heavy Nasdaq Composite closed up 4.5 percent at 8,952. It fell some 11 percent last week.

The coronavirus has killed more than 3,000 people globally and infected 88,000 others. While the US death toll itself is only about six so far, it has raised much fear on what the virus could do if it becomes a pandemic in the United States, just like in China.

Federal Reserve Chairman Jay Powell said on Friday the US central bank was prepared to use the tools necessary to preserve the country's more than decade-long growth amid the evolving pandemic threat. Money market traders are betting that the Federal Reserve will cut a half percentage point from the key US lending rate when the central bank meets March 17-18.

Outside of the United States, the Bank of Japan and Bank of England have both signaled readiness to cut rates too to stabilize markets. Separately, the Group of Seven finance ministers is scheduled to hold a teleconference on Tuesday to coordinate response to the coronavirus outbreak.