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US Stocks Climb for Second Day         04/07 09:07

   Stocks climbed in early trading on Wall Street Tuesday as markets around the 
world piled on even more gains following their huge rally a day earlier.

   NEW YORK (AP) -- Stocks climbed in early trading on Wall Street Tuesday as 
markets around the world piled on even more gains following their huge rally a 
day earlier.

   The S&P 500 jumped more than 2.5% in the first few minutes of trading and 
added on to Monday's 7% surge, following encouraging signs that the coronavirus 
pandemic may be close to leveling off in some of the hardest hit areas of the 
world.

   The stock market is looking ahead to when economies will reopen from their 
medically induced coma, after authorities shut businesses down worldwide in 
hopes of slowing the spread of the virus. In the meantime, governments around 
the world are approving or discussing trillions of dollars more of aid for the 
global economy.

   Many professional investors say they're wary of the recent upsurge and 
expect more volatility ahead. But if Tuesday's rally holds, it would be one of 
the few times the market has mustered a back-to-back gain since the coronavirus 
outbreak caused it to start selling off in mid-February.

   The S&P 500 jumped as much as 3.5% immediately after trading opened but 
pared its gains within 15 minutes. It was up 2.7%, as of 9:45 a.m. Eastern 
time. The Dow Jones Industrial Average rose 689 points, or 3%, to 23,369, and 
the Nasdaq was up 2.2%.

   In China, the first country to lock down wide swaths of its economy to slow 
the spread of the virus, authorities reported no new deaths over the past 24 
hours. Many experts, though, are skeptical of China's virus figures.

   Authorities in Spain, Italy and New York have also pointed to signals that 
the number of daily infections and deaths may be close to peaking or plateauing.

   Experts say more deaths are on the way due to COVID-19, which has already 
claimed at least 76,000 lives around the world. The U.S. leads the world in 
confirmed cases with more than 368,000, according to a tally by Johns Hopkins 
University.

   More economic misery is also on the horizon. Economists expect a report on 
Thursday to show that 5 million Americans applied for unemployment benefits 
last week as layoffs sweep the country. That would bring the total to nearly 15 
million over the past three weeks. Analysts also expect big companies in 
upcoming weeks to report their worst quarter of profit declines in more than a 
decade.

   But investors have already been preparing for a sharp, sudden recession. 
That's why they've sent the S&P 500 down 20% since its mid-February peak.

   They've been anxiously waiting for when the number of new infections hits 
its peak, which would give a better idea of how long the upcoming recession 
will last and how painful it will be. Until then, markets have been flying 
nearly blind.

   Massive aid from the Federal Reserve has helped smooth out snarled trading 
that had beset lending markets earlier in the sell-off.

   Japan's government on Tuesday formally announced a 108 trillion yen ($1 
trillion) package for the world's third-largest economy. In the U.S., the 
world's largest economy, House Speaker Nancy Pelosi is telling her colleagues 
that another $1 trillion is needed for the next coronavirus rescue package. 
Last month, Congress approved a $2.2 trillion package.

   In Europe, Germany's DAX jumped 4.1%, and France's CAC 40 rose 3.2%. The 
FTSE 100 in London added 3.5%.

   In Asia, Japan's Nikkei 225 rose 2%, South Korea's Kospi gained 1.8% and the 
Hang Seng in Hong Kong was up 2.1%. 


(CZ)

 
 
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