Global stock markets surge on the prospect of Donald Trump’s $2trn bailout.
However, political point-scoring by the Democrat’s in the US could derail the $2trn stimulus, which, would affect potential gains on global stock markets.
Even with the prospect of delays on the deal Asian markets started the day on a positive note with Japan’s Nikkei 225 over 7 per cent higher and Hong Kong’s Hang Seng Index finishing at 22,633 up 4.50 per cent.
Positivity remained when European markets open with the FTSE 100 index finishing on 5,446 up 9.05 per cent on the day with the German DAX up 11 per cent.
Sky News reported that India has announced a “total lockdown” of its population of 1.3 billion people in the fight against coronavirus, as the World Health Organization warned the US may become the new global epicentre of the pandemic.
At the time of writing and with no deal confirmed the Dow Jones and S&P 500 Index in the US are both 9 per cent higher than the previous day.
The question now being asked is whether today’s market surge will be short-lived or will stock markets remain volatile with large daily swings in both directions.
UK Government confirm as of 9am on 24 March 2020, a total of 90,436 people have been tested, of which 82,359 were confirmed negative and 8,077 were confirmed positive. 422 patients in the UK who tested positive for coronavirus (COVID-19) have died.
Unfortunately, it is still a difficult question to answer, but we may well have seen the bottom of the current market cycle. However, containing the virus is the problematic bit, so therefore, we are likely to see further falls on global markets.