Wall Street surges 2%
Wall Street ascended more than 2% on Tuesday with the hope of some economies would dial down the strict coronavirus-induced lockdowns. Meanwhile, the investors are anticipating quarterly earnings from JPMorgan and Johnson & Johnson to understand the impact of the current pandemic on the business.
There was a 4.3% jump for the tech giant Apple Inc (AAPL.O) which boosted a 3% rise in the tech-heavy Nasdaq .IXIC as a result of the iPhone shipments to China rebounding to a certain extent slightly in March after falling apart in February, data showed.
U.S. stock markets seem to have got back on track in the past month after slipping more than 30% from their February record highs, Reuters reported.
Yet, the firms under S&P 500 are off about $4.7 trillion in market value. According to analysts, it is going to be a harsh earnings season as the continuous lockdowns are going to heavily affect the markets.
“It should come as no surprise that earnings are going to be hit very hard in 2020. But it would be wrong to focus too much on 2020. Instead, we must look to forecast where earnings will go in 2021 and beyond so that we can continue to identify those companies that are going to emerge from this as winners,” said Fiona O’Neill, deputy head of equities research at Fidelity International in London.