05.03.2020 S&P 500 Index Daily Analysis

05.03.2020 S&P 500 Index Daily Analysis

  The continuing spread of the coronavirus (officially COVID 19) and the Federal Reserve’s surprising 50-basis point (bps) rate cut rattled the markets on Mar 3. With the coronavirus now estimated to have infected more than 93,000 people with cases rising rapidly in Europe especially in the northern cities of Italy, and the World Health Organization (WHO) stating that mortality rate for the COVID-19 is 3.4% globally, higher than its previous estimate of roughly 2%, this has prompted the S&P 500 Index closing 2.8% lower than with the 4.6% gain on Mar 2. However, Wall Street roared back to life on Wednesday, with the S&P 500 ending more than 4% higher, as former Vice President Joe Biden's strong showing in the "Super Tuesday" primary contests jolted healthcare stocks and upbeat economic data helped soothe worries about the coronavirus impact.