Stocks rally worldwide on hopes for coming economic recovery

Source: AP

By STAN CHOE, DAMIAN J. TROISE and ALEX VEIGA

NEW YORK (AP) — Stocks rose again Tuesday, part of a strong and worldwide rally for markets, after a big rebound in buying at U.S. stores and online raised hopes that the economy can escape its recession relatively quickly.

The S&P 500 climbed 1.9% for its third straight gain, bringing it back within 8% of its record set in February. Gains have built in recent weeks as reports bolster investor expectations that the worst of the downturn may have already passed.

Continuing, immense support from the Federal Reserve is also calming markets, and its chair said Tuesday that the central bank will continue to use all its tools to cushion the blow of the worst recession in decades. But trading remains very skittish across markets as worsening coronavirus trends in several global hotspots raise the possibility that all the improvements could unravel.

The S&P 500 shot to an early 2.8% gain, lost nearly all of it at one point and then rallied back. By the end of Tuesday, the index was up 58.15 points at 3,124.74.



A man wearing a mask walks by the New York Stock Exchange, Tuesday, June 16, 2020. Stocks are rising sharply in early trading on Wall Street after retail sales in the U.S. soared by a record 17.7% from April to May, double what economists were expecting and a welcome sign that spending is partially rebounding after the devastating coronavirus shutdowns. (AP Photo/Mark Lennihan)


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