U.S. stocks rallied at opening Tuesday, recouping some of Monday’s losses after President Trump floated a payroll tax holiday to stimulate economic growth against the coronavirus.
The Dow Jones Industrial Average opened up 3.44%, gaining more than 800 points. The S&P 500 and Nasdaq composite were also up 3.47% and 3.60%, respectively, at opening.
Oil prices rebounded from losses Monday as well, with crude oil trading 7.87% higher on Tuesday. The yield on the 10-year Treasury bond was up but still below 1%.
Trump said on Monday he will discuss a payroll tax cut and financial assistance for hourly wage workers with members of the Republican-led Senate Tuesday as a response to the growing coronavirus outbreak and its effects on the economy. Senate Minority Leader Chuck Schumer, a Democrat from New York, criticized the president’s proposal on Twitter Monday, saying that it would not combat the spread of the virus.
The jump in stock prices Tuesday comes after the markets endured a huge sell-off Monday over the coronavirus, with all three indexes dropping more than 7% shortly after opening. Trading was temporarily halted on the Dow, which dropped more than 2,000 points on Monday.
