The coronavirus stock market rally had another lap complete in the green, raising confidence in investors and traders alike.
NASDAQ leads the race as it gained nearly 4%, maintaining its winning position for four days in a row. The kind of result NASDAQ hadn’t had in a long while.
In the winning league are the Dow Jones Industrial Average and S&P500 index that rose 2.4% and 3.1% respectively.
Both Apple and Microsoft stock, which are Dow Jones, S&P 500 index and Nasdaq components, showed a 5% growth. Amazon beat the rivals with a record high spike of over 5%. Google and Facebook showed the least impressive gains: 1.9% and 4.5% accordingly.
With the governments worldwide urging citizens to #stayhome, the demand for online and cloud-based services has skyrocketed.
To illustrate how well the e-commerce giant is doing during the coronavirus outbreak, Amazon has hired around 175,000 people from the beginning of the crisis.
Growth stocks also had a strong day. Among the most robust ETFs are the iShares Expanded Tech-Software Sector ETF that rallied 4.2%, and the VanEck Vectors Semiconductor ETF with an impressive 4.4% boost.
Coronavirus Lockdown Easing
The discussions that the US and some European countries may start easing coronavirus shutdowns and begin working on the economic recovery has given an extra level of confidence to the existing coronavirus stock market rally.
Spain has made careful steps into allowing some construction and manufacturing. The positive trend is also supported by a number of automakers that are preparing to reopen their plants in Europe.
New York, California, Washington and Oregon together with their neighbouring states are making plans to coordinate on the economy relaunch at some point in time.
With the reopening of the economy comes the risk of a new wave of lockdowns, if the numbers of infected start rising again.
In China, life is slowly returning to its usual pace. However, new COVID-19 cases have been reported recently. The new cases mainly involve those who have returned home from Russia.
On Tuesday, the city of Singapore saw 300+ cases for two days straight.
European countries estimate that their borders will be kept shut until autumn. This statement has a direct impact on the projection of the state of Travel and Tourism this year.
The Coronavirus Stock Market Rally: Jump In and Buckle Up
With certain industries suffering more than the others from the devastating impact of the COVID-19 crisis, there is a number of companies, predominantly cloud-based, that are doing particularly well in the times of complete lockdown. Such companies include Amazon, Apple, Microsoft, Nvidia, Facebook, etc. that keep showing a constant positive market trend.
Experts speculate that the first few weeks after a bear market can lay ground for big opportunities. Right now, the Nasdaq is leading the coronavirus market rally, and this is a good time to be part of the race.