Global shares bounce after Wall Street dive, recession warning

Shares rebound in Europe and Asia after a brutal sell-off that gave the US stock market its worst loss in over 30 years, with many economies grinding to a standstill in hopes of containing the spread of the coronavirus.

Paris, London, Hong Kong and Sydney log solid gains while Tokyo’s benchmark is flat.

Australia’s benchmark led the gains, jumping 5.8% after a 7% plunge yestarday as investors snapped up miners and banks. Tokyo’s Nikkei 225 climbs 0.8% at one point but barely eked out a gain, adding less than 10 points to 17,011.53.

In early European trading, the CAC 40 in Paris rise 3.4% to 4,012.99 after the government announced $50 billion in aid for individuals and businesses. Germany’s DAX gains 3% to 9,004.71. Britain’s FTSE 100 falls back from early gains, shedding 0.2% to 5,143.06.

US futures also point to gains: the contract for the S&P 500 climbs 3.8% while the future for the Dow Jones Industrial Average added 3.2%.

The rebound in Asia follows news that the Trump administration plans strong support for airlines stricken by the outbreak and is pushing the Senate to enact a massive stimulus package to alleviate losses for businesses and individuals affected by the outbreak, which has infected more than 182,000 people worldwide, 4,661 in the United States.

— AP