US equity futures indicate a higher opening on Friday, recovering a percentage of the value lost in Thursday’s huge massive sale.
The main futures indexes point to a gain of 1.3% at the start of trading on Wall Street.
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This follows Thursday’s carnage of stocks which saw the Dow Jones Industrial Average fall 6.9%, or 1,861.82 points, to 25,128.17. The S&P 500 fell 5.9% to 3,002.10, its worst day since mid-March, when stocks suffered repeated and heartbreaking declines at the start of the virus lockdown.
|I: DJI||MEDIUM DOW JONES||25128.17||-1,861.82||-6.90%|
|I: COMP||NASDAQ COMPOSITE INDEX||9492.726687||-527.62||-5.27%|
The Nasdaq composite, which surpassed 10,000 for the first time a day earlier, lost 527.62 points, or 5.3%, to 9,492.73.
Asian markets have resumed sales where the United States left off.
The Japanese benchmark Nikkei fell 1%, the Hang Seng in Hong Kong lost 1.2%, while the Chinese composite in Shanghai fell 0.2%.
A MONTH OF REOPENING, NO CLEAR TOUR FOR THE ECONOMY OR AMERICAN PANDEMIC
The S&P 500 rose 44.5% between late March and Monday, wiping out most of its pandemic-related losses. Skeptics said the rally was overkill.
As businesses reopen and people emerge from home orders, cases are increasing in almost half of the states, according to analysis by the Associated Press.
Investor optimism for a quick recovery was also dampened by the Federal Reserve, which warned on Wednesday that the road to recovery from the worst slowdown in decades would be long and pledged to keep rates low for the future predictable.
THE NET HOUSEHOLD OF THE UNITED STATES IS WORTH BILLION DOLLARS IN HISTORICAL DECLINE
He estimated that the economy would shrink 6.5% this year, according to other forecasts, before increasing by 5% in 2021. He also expects an unemployment rate of 9.3%, near the top from the last recession, by the end of this year. It’s now 13.3%.
These factors, along with the recent surge in stock prices, set the stage for the sales wave on Thursday.
The Labor Department said Thursday that about 1.5 million people applied for unemployment benefits in the United States last week, another sign that many Americans are still losing their jobs as the economy begins to gradually reopen. . The latest figure marked the tenth consecutive weekly drop in demand.
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In other trade, the US benchmark crude oil fell 95 cents to $ 35.43 a barrel in electronic trading on the New York Mercantile Exchange. It fell $ 3.26 to $ 36.34 a barrel on Thursday. Brent crude oil fell 87 cents to $ 37.72 a barrel.
The Associated Press contributed to this article.