[New York Close] Rebound on Expectations of Economic Activity Resumption... Financial Stocks Lead Gains

A banner celebrating the listing of Chinese company Tencent Music was hung at the New York Stock Exchange in December 2018. [Image source=Reuters Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] The US New York stock market rebounded amid expectations of economic activity resumption despite large-scale unemployment.

On the 14th (local time) at the New York stock market, the Dow Jones Industrial Average rose 377.37 points (1.62%) to close at 23,625.34, the S&P 500 index increased by 32.50 points (1.15%) to 2,852.50, and the Nasdaq index gained 80.55 points (0.91%) to finish at 8,943.72.

MarketWatch reported that the Dow experienced its strongest rise in two months. The Dow's increase was led by banks and financial stocks.

Although the New York stock market started lower amid early session negative factors, it succeeded in rebounding. The US Department of Labor announced that the number of unemployment insurance claims last week decreased by 195,000 from the previous week to 2,981,000. Over the past eight weeks, the number of unemployment insurance claimants has reached approximately 36.5 million.

Tensions between the US and China also escalated. US President Donald Trump said in a Fox Business interview that he was "very disappointed with China" and suggested that the US might sever all relations with China, taking a strong stance. He also mentioned that he is reviewing Chinese companies listed on the US stock market.

Nevertheless, the market rebounded as investors focused on the partial resumption of economic activities in 48 states next week. CNN reported that by early next week, 48 states will begin partial economic activity reopening.

Despite President Trump's warning, the stock prices of Chinese companies listed on the US stock market showed mixed results. Alibaba and Baidu rose by 0.92% and 0.56%, respectively, while PetroChina and China Life Insurance fell by 0.36% and 0.92%, respectively.

International oil prices surged significantly due to the effect of the US economic activity resumption. On the New York Mercantile Exchange (NYMEX), June delivery West Texas Intermediate (WTI) crude oil closed at $27.56 per barrel, up 9.0% ($2.27).

The international benchmark Brent crude also rose about 6%, entering the $31 per barrel range.

On the New York Commodity Exchange, June delivery gold closed at $1,740.90 per ounce, up 1.4% ($24.50) from the previous day.

This content was produced with the assistance of AI translation services.