Stock Market Today LIVE Updates: Sensex up over 930 points, Nifty above 9,300-level; RBI Governor Shaktikanta Das begins conference
Stock Market Today Latest Updates: The market trimmed the gains as Sensex was trading 900.24 points or 2.94 percent higher at 31,502.85 while the broader Nifty was up 260.30 points or 2.89 percent at 9,253.10 at around 10.20 am.
Gold prices inched lower on Friday as Asian equities showed signs of a rebound, but fears of a steep global recession due to the coronavirus pandemic limited a drop in the metal’s price, putting it on course for its second straight weekly gain.
Spot gold eased 0.1 percent to $1,716.56 per ounce. US gold futures slipped 0.1 percent to $1,730.30.
The metal was up about 1.6 percent for the week so far, on track to post its second consecutive weekly gain.
Sensex up over 930 points, Nifty above 9,300-level; RBI Governor Shaktikanta Das begins conference
Meanwhile, Asian stocks look set to bounce on Friday to recover towards a one-month high as investors, following Wall Street’s lead overnight, sought silver linings in a run of data that showed the world is in its worst recession in decades.
China’s economy shrank 6.8 percent in January-March from a year earlier, official data showed on Friday, the first such decline since at least 1992 when quarterly gross domestic product (GDP) records began.
A Reuters poll showed China’s economy is forecast to have shrunk 6.5 percent in the first quarter from a year ago.
E-Mini futures for the S&P 500 index ESc1 rose right from the closing bell and jumped 3.5% to a five-week high, while the Nikkei futures NKc1 pointed to gains of 545 points.
US stock indices had eked out gains overnight in a session of choppy trade, after shares of Amazon.com Inc and Netflix Inc surged to record highs, as sweeping stay-home orders by governments to fight the coronavirus pandemic drove demand for online commerce and streaming services.Shares of Gilead Sciences Inc also soared 15 percent after a media report suggested that patients suffering severely from the coronavirus were responding positively to the drug maker’s experimental treatment remdesivir.
Data released overnight had shown a record 22 million Americans filing for unemployment benefits over the past month, though some investors took heart in the fact that claims had fallen for the second straight week.
Representational image. Reuters.
But in a sign some investors stayed averse to risk, the US dollar rose again and US Treasury yields slid to new lows.
Indeed, some analysts warned an economic recovery may be slow and protracted.
“Some believe when the crisis is over, everything will quickly return to what life was like in January, but I think there will be some lingering effects,” said Byron Wien, the vice chairman of private wealth solutions at asset manager Blackstone Group Inc.
“I think the recovery will look like a square root sign, a “V” at the beginning and then a gradual recovery.”
Joining a handful of other governments that are restarting their economies after mass shutdowns to contain the pandemic, U.S. President Donald Trump said on Thursday US state governors can re-open businesses in a staggered, three-stage process.
Bond investors agreed the outlook was glum and bought more US Treasuries, further flattening the curve. US 10-year and 30-year yields dropped to two-week lows, while the yield on two-year notes sank to a three-year trough of 0.187 percent. It recovered to 0.211 percent by early Friday, but was still over a 100 basis points below January levels.
The demand for safety helped the dollar index rise 0.3 percent to a one-week high of 99.954, while the euro recovered from a low of $1.0832 struck overnight to be up 0.18 percent at $1.0854. The greenback was little changed against the Japanese yen at 107.95 yen.
A firmer dollar led gold prices to retreat further from 7-1/2-year highs hit earlier in the week. Spot gold fell 0.6 percent to $1,707.50, while US gold futures GCv1 slipped 0.3 percent to $1,725.9.
Oil prices steadied a touch after hovering at an 18-year low overnight on fears that energy demand will collapse on the back of a global recession. US crude CLc1 edged up 0.65 percent to $20, while Brent crude LCOc1 was flat at $27.82.