U.S. stocks rebound as dip-buying offsets virus concern

By: |
Published: June 13, 2020 11:13 AM

While U.S. stocks recovered Friday, all three major equity gauges fell for the week on concern over the pace of recovery following months of lockdown.

 U.S. stocks, Real-estate, financial, energy companies, S&P 500,Real-estate, financial and energy companies led gains in the S&P 500.

Bloomberg: U.S. stocks rebounded from the biggest rout in 12 weeks as dip-buyers emerged for companies that bore the brunt of Thursday’s selling. Treasuries fell, while the dollar rose.

Real-estate, financial and energy companies led gains in the S&P 500. Cruise operators and airlines that were among the hardest-hit during the rout soared. Earlier Friday, the gauge fell as the World Health Organization said the risk of a second wave of coronavirus is present for any country exiting lockdowns. States and cities might have to resume shutdowns if cases surge dramatically, top officials at the U.S. Centers for Disease Control and Prevention said.

Investing Abroad Made Simple
Powered by:
What is your goal?
Buy a home in US
What is your goal?
Holidaying in the US
What is your goal?
Medical treatment abroad
What is your goal?
Invest Globally
What is your goal?
Children’s education

While U.S. stocks recovered Friday, all three major equity gauges fell for the week on concern over the pace of recovery following months of lockdown. Arizona and Oklahoma were among U.S. states to report record one-day increases in new coronavirus cases, a month after easing restrictions. Florida had the biggest daily jump since May 1. White House economic adviser Larry Kudlow said a new wave of cases hasn’t appeared.

“I don’t think that much has really changed. It’s just investors are so trained to buy that dip, they are riding that now,” said Shahnawaz Malik, senior investment advisor at Cornerstone Capital. “We’re going to continue to see these bouts of volatility until we have a vaccine” for the coronavirus.

These are some of the main moves in markets:

Stocks

The S&P 500 advanced 1.3% as of 4 p.m. New York time.
The Stoxx Europe 600 Index advanced 0.3%.
The MSCI Asia Pacific Index decreased 1.2%.

Currencies

The Bloomberg Dollar Spot Index advanced 0.1%.
The euro decreased 0.4% to $1.1256.
The Japanese yen weakened 0.5% to 107.36 per dollar.

Bonds

The yield on 10-year Treasuries gained four basis points to 0.71%.
Germany’s 10-year yield decreased three basis points to -0.44%.
Britain’s 10-year yield advanced one basis point to 0.208%.

Commodities

The Bloomberg Commodity Index sank 0.6%.
West Texas Intermediate crude advanced 0.1% to $36.38 a barrel.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Investing in foreign stocks? Know the tax treatment, filing of income tax returns
2Tech leads U.S. stock rally, sends Nasdaq to high
3Warren Buffett’s new investment: Berkshire Hathaway breaks Covid silence with Dominion Energy deal