Global market update - Dow Rebounds After Biggest One-Day Decl | Motilal Oswal Research

Global market update - Dow Rebounds After Biggest One-Day Decline Since October

 

·         U.S. stocks rebounded Tuesday after a dramatic selloff Monday highlighted worries that the spread of Covid-19 variants would set back the economic recovery. The Dow Jones rose 475 points, or 1.4%, after falling more than 700 points Monday in its worst session since October. The S&P 500 gained 0.9%, while the tech-heavy Nasdaq Composite added 0.3%. US 10-Year Bond fell 2bps at 1.16%

·         European stocks saw small gains following their worst day in seven months as investors considered whether the spread of Covid-19 mutations could derail a rebound in economic growth and corporate earnings. FTSE, CAC and DAX Index gained half to one percent.

·         Oil dropped towards $68 a barrel on Tuesday, extending the previous session's steep slide, pressured by concern that rising COVID-19 infections could weaken demand again just when OPEC+ is increasing supply.

·         Gold edged higher as Treasury yields continued to decline even as stock markets found their feet after falling sharply on fears over the delta variant. Gold gained half percent at $1821/ounce.

·         FIIs net sellers Rs2835cr while DIIs net buyers Rs873cr