Stock markets rebound on Monday

London, April 6, 2020 — Asian and European equity markets rebounded on Monday as some of the world's worst-hit countries reported falling death rates, providing much-needed hope in the battle against coronavirus.

      While deadly COVID-19 continues its deadly sweep across the planet, with more than 1.25 million now declared infected and nearly 70,000 dead, news out of Europe that the rise of fatalities was easing has lifted spirits on trading floors.

      Italy reported its lowest daily death toll in two weeks, while Spanish officials said deaths fell for the third straight day and France reported its lowest daily toll in a week.

      In early afternoon eurozone deals, Frankfurt stocks rallied 4.5 per cent, Paris won 3.7 per cent, Madrid gained 3.0 per cent and Milan added 3.2 per cent.

      'Shrugging off pessimism'

      "European markets are trading higher because investors are shrugging off the pessimism," said AvaTrade analyst Naeem Aslam.

      "They are focused on more optimistic things: the slowing death rate caused by coronavirus. Italy, Spain, France, and Germany have all seen declining numbers."

      London jumped 2.1 per cent nearing midday, with gains capped by news that British Prime Minister Boris Johnson was hospitalised for precautionary tests after suffering "persistent" coronavirus symptoms for ten days.

      The pound, however, rose as officials insisted that Johnson was "still very much in charge of the government".

      Elsewhere, South Korea saw the fewest new cases in six weeks, Australian new infections were also dropping and Donald Trump said the US was showing signs of stabilising, despite the number of cases there passing 335,000 -- the highest in the world.

      Markets also shrugged off data on Friday showing a massive drop in US jobs in March that added to news that millions of people had applied for unemployment benefits.

      Tokyo, Sydney and Manila all rose more than four per cent, while Seoul, Singapore and Jakarta gained almost four per cent. Hong Kong jumped 2.2 per cent, while Shanghai was closed for a holiday.