Wall Street closed Friday with losses, thus ending a three-day recovery streak fueled by the agreement of the largest economic rescue plan approved by Congress to cushion the impact of the coronavirus. The United States overtook China on Thursday as the country with the most cases in the world and became the epicenter of the pandemic. The third most populous nation on the planet registers around 97,200 infections and 1,400 deaths, according to data from John Hopkins University. The markets, concerned about the outlook, turned red again. The Dow Jones extended its fall in the closing minutes of the closing and fell 4%. However, it accumulates a gain of about 14%, its best week since 1938. The S&P fell 3.4% and the Nasdaq technology 3.7%, but advance more than 10% in the week.
In the previous session, the stock market indices left in the background the 3.28 million applications for unemployment aid registered last week due to the outbreak, a very negative figure that was already taken for granted with the paralyzed economy as it is. The Dow Jones gained 6.3%, breaking the 22,000-point barrier and standing 20% above its most recent low, kicking off a new bull market period and ending the shortest bear market stage of his story. The last three days of earnings were the best for the Dow Jones since 1931. Although it advanced 21% in that period, it is still 21% below its peak this year. The S&P, which gained 6.2%, also chained its best streak of three days since 1933.
The economic lifeguard for two trillion dollars (about 1.8 trillion euros) to help companies and citizens, allowed Wall Street to recover these days some of the lost in the last two weeks in which, in a matter of days , accumulated losses that erased everything won since Donald Trump arrived at the White House. The Senate unanimously approved the historic economic lifesaver and the House of Representatives did the same this Friday at noon. President Donald Trump signed it just after the New York Stock Exchange closed.
With the United States as the country with the most registered cases in the world, an economic slowdown that is not yet known how long it will last, the markets have again fallen this Friday to the pessimistic terrain. The New York Stock Exchange ignored yesterday the 3.28 million workers applied for state aid for unemployment last week in the United States, affected by the economic and social crisis caused by the coronavirus. The number of petitions quadruples the last historical record, in 1982, when the country was going through a recession. The White House warned before the colossal pact in Congress was reached that the unemployment figure could reach 20% if they did not reach an agreement. It is currently within the range of what is considered full employment (3.6% in February). However, experts calculate that the data must have already increased to 5.5%, a level that has not been seen since 2015.
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