Asian Markets Lag After Gains in U.S.: Live Updates

Wall Street analysts have been closely tracking the growth path of infections, with some spotlighting recent news as an indication that the outbreak could be near a peak in the United States. Analysts highlighted the tentative deceleration of infections in New York as a good sign for other virus hot spots in the country, as well as for stock market sentiment.

“This does not mean that the all clear is immediate, nor does it mean that the U.S. economy will quickly recover. But the light at the end of the tunnel is starting to emerge,” Dan Clifton, a partner at Strategas Research Partners, a financial and economic consulting firm, wrote in a note.

The optimism drove U.S. shares sharply higher. The SP 500 rose 7 percent, its biggest gain since March 24, when it climbed more than 9 percent.

Still, there was a strong defensive tilt to trading. The utilities sector — typically an area dominated by risk-averse investors — was one of the best performing in the SP 500, with a gain of almost 8 percent.

That suggests investors still see plenty of reason to be cautious.

Catch up: Here’s what else is happening.

• Abercrombie Fitch said on Monday that it would furlough its store employees in Africa, Europe, the Middle East and North America on April 12. The affected workers will still receive benefits. The retailer also announced it would cut the pay and work hours of some of its corporate employees and that its executive salaries would be reduced 10 percent to 33 percent.

Article source: https://www.nytimes.com/2020/04/07/business/stock-market-today-coronavirus.html