Wall Street has been receiving consistent blows from the coronavirus outbreak. Although some major indexes recovered slightly from their earlier losses, the blows continue to come, with the market set for another week of losses as the US stock futures retreat late Thursday. As of 9 p.m. ET, the Dow Jones Industrial Average futures were down by over 200 points, almost 1%, while the S&P 500 and Nasdaq-100 futures also slipped.
Earlier on Thursday the Dow Jones gained above 2%, along with gains of other stocks as well.
Investors have been looking at the job reports and have been waiting for Friday’s job reports, as millions have filed for jobless claims due to the businesses shutting down amidst the coronavirus pandemic. Jobless claims have been soaring high and rising exponentially, with numbers reaching to 6.6 million unemployment applications, as of last week. The Friday job reports are expected to be uglier, although not fully indicative of how bad or extensive the unemployment issue is, at the moment.
Jobless claims have risen by almost 3000% in the past 3 weeks and are only aimed to go higher as the virus continues to spread in the US, with over 2,17,000 confirmed cases. The epicenter of the virus spread being located at New York State, the containment has become even more difficult and the shutdown seems to be remaining effective for a longer period of time leading to further job losses.
As the U.S. President Donald Trump indicated towards imminent production curbs by feuding oil giants Saudi Arabia and Russia, the Wall Street clings to hope for major oil companies as oil prices surged by 12% earlier. While the stock market searches for the rock Market with consistent crashes and losses, investors wait for the Friday job reports which is predicted to be uglier than any of the previous weeks.
Experts indicate that the stock market is acting dysfunctional, and the global economy is down in such a way that it will surely take a lot of time to recover. Some experts ascertain that this recession will end the private sector debt supercycle.
That being said, experts, investors and businesses are waiting for the control of the pandemic and the restart of the global economy placed into a shutdown by the pandemic.