US stocks rally with oil; fall of treasures: closing of the markets

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US stocks rallied, boosted by energy stocks, as oil jumped after US President Donald Trump said that Russia and Saudi Arabia will cut production. T-bills fell and the dollar rose.

The S&P 500 advanced for the first time in three days, with Chevron Corp and Exxon Mobil Corp. among the best winners. Stocks have rebounded after falling 6% in the past two days. Consumer discretionary stocks weighed on the benchmark after jobless claims doubled from last week to 6.6 million.

West Texas crude oil gained 22% after Trump said he expected the two countries to cut production after speaking with Crown Prince Mohammed Bin Salman on Thursday. But oil peaked after officials on both sides lowered expectations. The product is still down about 60 percent for the year.

Inventories rise as oil increases due to potential supply cuts

After having experienced their worst quarter since 2008, stocks are struggling to fare well as companies decide to cut their dividends and more and more American states are adopting severe movement restrictions to curb the pandemic of COVID-19. The first jobless claims on Thursday that showed record numbers underscored the uncertainties surrounding the economic record. However, rising oil prices could help cushion the impact by boosting a battered sector of the economy.

“The reality is that there is no stimulus to stimulate growth in demand until people are back outside their homes in interaction with society,” said Jeff Klingelhofer, co-investment director and portfolio manager at Thornburg Investment Management, which has approximately US $ 37. billion in assets. “I think we are going through a period of high volatility for a while longer. “

These are the main movements on the markets:

Stocks

  • The S&P 500 rose 2.3% at 4 p.m. New York time.
  • The Nasdaq composite index increased 1.7%.
  • The Stoxx Europe 600 index gained 0.4%.
  • The MSCI Asia-Pacific index fell 0.6%.

Currencies

  • The Bloomberg Dollar Spot Index rose 0.5%.
  • The euro fell 1% to US $ 1.0852.
  • The pound rose 0.2% to US $ 1.2399.
  • The Japanese yen lost 0.7% to 107.92 against the US dollar.

Obligations

  • The 10-year Treasury bill yield increased three basis points to 0.61%.
  • Germany’s 10-year yield rose three basis points to -0.43%.
  • Britain’s 10-year yield climbed two basis points to 0.33%.

Raw materials

  • Gold rose 3.1% to US $ 1,640.80 an ounce.
  • West Texas Intermediate crude oil rose 22% to $ 24.72 US per barrel.



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