Dow futures trade 300 points lower as coronavirus uncertainty lingers, after temporary boost from China factory data – MarketWatch

Shares were in rebound mode Monday, with the Dow
DJIA,
+3.19%
rising 690.70 aspects, or 3.2%, to effect at 22,327.48. The S&P 500
SPX,
+3.35%
climbed 85.18 aspects, or 3.4%, to 2,626.65. The Nasdaq Composite Index
COMP,
+3.62%
rose 271.77 aspects, or 3.6%, to 7,774.15.

What’s driving the market?

Concerns remain over the spread of COVID-19 within the U.S., Europe in explicit, with financial bid under lockdown amid a rising tally of infections and a mounting death toll.

Global equities enjoyed a prefer after data on China’s manufacturing and carrier sectors showed all of sudden tough rebounds in March as the nation emerged from the lockdown geared toward tantalizing the spread of COVID-19.

The authentic manufacturing buying managers index for manufacturing rose to 52.0 in March from a story low of 35.7 in February, the National Bureau of Statistics said Tuesday, topping expectations for a learning of 51.5. The 50 label separates expansion of bid from contraction.

China’s authentic carrier sector buying managers index climbed to 52.3 in March from a story-low learning of 29.6 in February.

The PMI readings were “smartly above expectations and almost too true to be a simply for an economy that’s mute not fully performing at its pre-crisis optimum level,” said Michael Hewson, chief market analyst at CMC Markets, in a demonstrate.

Analysts said the inventory market’s tough rebound final week and further rally on Monday were encouraging, but the persevered volatility made for a treacherous near-term procuring and selling backdrop. The debate over whether stocks place aside in a undergo-market bottom on March 23 continues, with analysts noting that previous downturns non-public also seen tough bounces from selloffs, adopted by retests of the lows.

“Final week’s double-digit carry out for markets was as soon as a welcome aid rally, even supposing market bottoms are sometimes as dapper as this one has been. In 2000/01, there non-public been four rallies of upper than 20% outdated to within the damage reaching a bottom, and within the monetary crisis, the S&P 500 had a unfounded breakout of 27% outdated to hitting a bottom,” renowned Be conscious Hackett, chief of funding learn at Nationwide, in a demonstrate.

Which companies are in middle of attention?

• Cruise-line operator Carnival Corp.
CCL,
-11.17%
said it would suspend its dividend and the repurchase of its frequent inventory, in hiss to increase liquidity as the spread of COVID-19 has led to the terminate of its immediate cruise operations. Shares fell 3.4% after a 28% drop all the very top map by the final two sessions and with regards to 75% all the very top map by the final three months.

• Several energy stocks were posting necessary positive aspects, after struggling necessary declines as oil prices touched their lowest ranges since 2002, outdated to rebounding early Tuesday. Exxon Mobil Corp.
XOM,
+1.48%
gained 3.1% outdated to the commence of exchange, while Occidental Petroleum Corp.
OXY,
-5.16%
gained 5.1% and Haliburton Co.
HAL,
-0.31%
added 6%.

• McCormick & Co. Inc. reported fiscal first-quarter earnings that beat expectations, but sales that fell brief Tuesday morning. Shares of the spice and condiments manufacturer fell 2.2% outdated to the commence of exchange.

• Shares of Domino’s Pizza Inc. traded decrease in premarket exchange Tuesday after the pizza-beginning firm said Monday evening that world sales were on wander to upward push 4.4% within the first quarter as have-at-dwelling orders enhance request for food beginning. The firm’s inventory has risen 2.4% in March, versus a 11.1% decline for the S&P 500.

How are assorted markets procuring and selling?

Authorities bond yields moved mostly higher, with the yield on the 10-year U.S. Treasury demonstrate
TMUBMUSD10Y,
0.694%
up about 3 basis aspects to 0.7%.

Oil prices rebounded from 19-year lows, with the payment of a barrel of West Texas Intermediate low oil
CLK20,
+4.62%
for Might per chance well beginning up 6.1%, or $1.22 to about $21.27. In treasured metals,
GCJ20,
-0.89%
fell $25, or 1.5% to $1,597 an oz..

The U.S. greenback
DXY,
+0.48%
gained 0.7% against a basket of its critical procuring and selling companions, in response to the ICE U.S. Buck index.

European stocks were procuring and selling higher, with the Stoxx Europe 600
SXXP,
+0.86%
up 0.2%.

In Asia overnight, stocks traded mixed. The China CSI 300
000300,
+0.32%
rose 0.3%, Hong Kong’s Hang Seng index
HSI,
+1.84%
rose 1.9% and Japan’s Nikkei 225
NIK,
-0.88%
fell 0.9%.