The stock market rose on Monday because there were signs that President Donald Trump’s health has improved, alleviating some of the political uncertainty caused by his coronavirus infection, which made investors rushed to seek safety last week.
After Trump announced that he and the first lady tested positive for the coronavirus, investors worldwide were shocked on Thursday night.
The White House initially issued various messages about Trump’s health, which contributed to political uncertainty and made investors pay close attention to any news about his illness.
Some traders are particularly worried about the doctor’s admission because they admitted to providing Trump with supplemental oxygen and steroids, which are usually used to treat severe COVID-19 cases.
However, the doctors treating Trump issued a statement that they were satisfied with his progress and may return to the White House on Monday.
This helped the stock market rise this Morning, after Friday losses. The US S&P 500 electronic mini futures rose 0.62 %. As of press time, Dow futures rose 131 points to 2,7696.00 points, an increase of 0.48%; S&P 500 index futures rose 0.37% to 3,351.75 points; Nasdaq futures rose 0.54% to 11293.50 points.
The MSCI Asia Pacific Stock Index (MIAPJ0000PUS), the most extensive index outside Japan, rose 1.08 %. EURStoxx 50 futures (STXEc1) rose 0.82 %, Germany’s DAX futures (FDXc1) rose 0.72 %, and FTSE futures (FFIc1) rose 0.91 %.
As of press time, WTI crude oil futures rose 2.40% to $37.94 per barrel. Brent crude oil futures rose 2.22% to $40.14 per barrel.
European stock markets rose slightly in early trading on Monday. The Stoxx Europe 600 index rose 0.61%, the Italian FTSE MIB index rose 0.52%, the UK FTSE 100 index rose 0.43%, the French CAC 40 index rose 0.51%, and the German DAX index rose 0.40%. Oil prices rebounded by more than 2%.
Due to the reduced need for security of holding government debt, the yield on government bonds rose slightly.
The dollar rose 0.21% to 105 against the yen, but fell 0.39% to 0.9174 Swiss francs because some investors adjusted their safe harbor currency positions.
The yield on the benchmark 10-year U.S. Treasury bond rose to 0.7072%, and the yield curve was slightly steeper, indicating that most investors are willing to take greater risks.
BrentcrudeFutures (LCOc1) rose 2.09% to US$40.09 per barrel , while US crude oil futures (CLc1) rose 2.38 % to US$ 37.93 per barrel.
The President in a video posted to Twitter on Sunday said “We’re getting great reports from the doctors.” “It’s a very interesting journey. I learned a lot about COVID.”