Many US analysts say financial markets will continue to swing sharply until the number of new infections stops accelerating.
In the United States, the number of cases has topped 1,000. Worldwide, more than 119,000 people have been infected, and over 4,200 have died.
“There’s a real feeling that we don’t know where this ends,” said Brad McMillan, chief investment officer for Commonwealth Financial Network.
Italy’s government announced US$28 billion in financial support for health care, the labor market and families and businesses that face a cash crunch due to the country’s nationwide lock down on travel.
US President Donald Trump hinted at plans for tax cuts and other economic relief late Monday, but he has yet to unveil any details. His proposal for a cut to payroll taxes has met resistance on Capitol Hill.
The government has to hit a narrow target to lift market optimism, all while overcoming partisan rancor to get there.
“The package must be large enough to restore confidence, but targeted enough to provide immediate relief to where it is needed most,” Mike Ryan, UBS Global Wealth Management’s Americas chief investment officer, wrote in a report.-AP
