Coronavirus: US stocks defy record jobless claims, rise strongly on massive stimulus plan
- The Dow Jones Industrial Average rises more than 1,350 points, gaining for the third consecutive session
- Jobless claims of 3.28 million are ‘not relevant’, treasury secretary says, with stimulus bill winning Senate approval and headed to House
US stocks rose on Thursday, extending a buying streak to three straight sessions, despite record first-time jobless claims, on confidence that a massive stimulus package could help stabilise the economy beset by the Covid-19 outbreak.
The Dow Jones Industrial Average closed up more than 1,350 points, or 6.4 per cent, the rise sustained throughout the day, then jumping nearly 500 points in the session’s final minutes.
The benchmark 30-stock index has rallied 21 per cent in the past three days to reach its highest close, 22,552.17, since March 13, lifting itself from the technical bear market the index sank into just days ago after coronavirus fears helped the Dow slide more than 20 per cent from its peak in mid-February.
Also on Thursday, the Standard & Poor’s 500-stock index surged 6.2 per cent. The index, a broader indicator of Wall Street, has gained 17.6 per cent since Monday. The tech-heavy Nasdaq composite jumped 5.6 per cent.
The rally defied a staggering jobless claims report that 3.28 million people filed first-time claims for unemployment insurance in the week ended March 21, the first tangible sign of the impact of the coronavirus pandemic on the economy.
