Xinhua News Agency, New York, April 6 Financial and Economic Observation: The signs of the US epidemic are now improving, stimulating the New York stock market to rise

Xinhua News Agency reporter Liu Yanan

Boosted by factors such as signs of improvement in the new US crown epidemic, the three major New York stock indexes opened sharply higher on the 6th, and the three major New York stock indexes all rose more than 7% at the close.

As of the close of the day, the Dow Jones Industrial Average rose 1627.46 points to close at 22679.99 points, an increase of 7.73%. The S & P 500 stock index rose 175.03 points to close at 2663.68 points, an increase of 7.03%. The Nasdaq Composite Index rose 540.16 points to close at 7913.24 points, an increase of 7.33%.

According to the latest statistics released by Johns Hopkins University in the United States, the number of newly diagnosed cases in the United States decreased significantly on the 5th, and measures such as the "home order" and corporate shutdowns and production showed effective signs. At the same time, the number of new deaths in New York State, the most severe epidemic in the United States, declined for the first time from the previous day.

Thomas Lee, head of research at the Global Fund for "Fund Strategy", said the data showed that the New York State epidemic may be more optimistic than the state government expected. As investor sentiment improves, he believes that the US stock market will dominate buying.

Bill Ackerman, chief executive of Pershing Square Capital Management, said that although the United States is almost closed for business, people are beginning to become optimistic.

Former Fed Chairman Yellen said on the 6th that the US economy may contract by 30% in the second quarter of this year, and the unemployment rate is between 12% and 13%. At present, there is no need for the Fed to buy stocks directly from the stock market, and more importantly, to provide support to the credit market through intervention measures.

Bank of America's Global Research Department believes that for US companies, the Fed's large-scale interventions will ensure market liquidity.

UBS Group Wealth Management Global Chief Investment Officer Mark Heffer said on the 6th that the recent market trend will mainly depend on how quickly economic activities can return to normal after the implementation of the epidemic control measures, and the extent to which the epidemic response measures can reduce corporate bankruptcy And people are unemployed.

Heifer predicted that the U.S. economy will experience a U-shaped rebound from the third quarter of this year to the first quarter of next year. By the end of this year, the S & P 500 stock index is expected to have a point of about 2650.

Barry Bannister, executive director of the U.S. Equity Research Department at U.S. investment bank Stiefel Financial, said that it is expected that the new U.S. confirmed cases of pneumonia will peak later in April and the rebound in the S & P 500 stock index will be 4 At the end of the month, it reached 2750 points, and the stock market may respond positively to the news that the number of newly confirmed cases peaked.

However, the outlook of the US epidemic is still uncertain, and the future trend of US stocks is still full of uncertainty. JPMorgan Chase CEO Jamie Dimon said in an annual letter to shareholders on the 6th that although he does not know what will happen in the future, he expects a severe recession in the US economy and the pressure on financial markets will be similar to that during the 2008 global financial crisis .

Mark Caijin, CEO of Caijin Analysis, said that if there is a chance to effectively treat the new coronavirus, a large number of capital gain opportunities will emerge. But for now, the preservation of capital is more important than the gain. Investors should hold sufficient cash to withstand future declines in the stock market.