Markets rise on hopes for US fiscal package

Markets rose on Wednesday.

The S&P 500 rose 1.2 percent, the STOXX Europe 600 jumped 3.1 percent and the Nikkei 225 surged 8.0 percent.

Optimism over the passage of a fiscal package in the US provided a boost to markets.

“The coronavirus spread is intensifying in the US, but some optimism is growing that it could peak in a few weeks and right now traders are primarily focused on all this stimulus,” wrote Edward Moya, senior market analyst at Oanda.

James McCann, senior global economist at Aberdeen Standard Investments, called the fiscal package “huge” and said “it should hopefully act as a firewall to slow the spread of this crisis through the economy and prevent it from seizing up the financial system”.

Still, the COVID-19 pandemic remains a global threat, with Italy's death toll increasing by 683 on Wednesday and Spain's by 738. Italy and Spain now have the world's highest and second highest death tolls from the disease.