Dow Jones Industrial Average (DJIA) futures jumped as much as 500 points higher on Monday.
Stock markets eye a rebound after the worst week since 2008.
Facing coronavirus panic, Trump may be forced to introduce creative fiscal policies to support the stock market.
The stock market is showing signs of life after the worst week since the 2008 recession. Dow Jones Industrial Average (DJIA) futures soared an astonishing 500 points higher overnight before settling 221 points up.
Headlines this morning focus on the wave of central bank stimulus coming. But the real safety net may come from Trump himself. According to Credit Suisse, the White House will likely step in with fiscal policy to counter the coronavirus impact.
Fahd Iqbal, head of Middle East research at Credit Suisse stated:
We can’t rely on the Fed to be the be-all in this situation. It has to be government led.
And you better believe Trump will do everything in his power to keep the stock market afloat. His re-election in 2020 depends on it.
Dow fights for comeback after heavy selling
Dow futures contracts made a strong recovery going into Monday’s session, following Asian and European stocks higher. It signals a brief respite after a week of brutal selling.