Global stocks came under pressure on Friday after U.S. Treasury Secretary Steven Mnuchin called for an end to pandemic relief for struggling businesses, sparking a rare clash between the central bank and Treasury and weighing on sentiment.
However, that sentiment faded after Treasury Secretary Mnuchin later asked the Federal Reserve to return money earmarked under the March pandemic relief act for emergency lending to businesses, nonprofits and local governments. "A meaningful stimulus package will aid small companies, the underlying economy, as well as the unemployed and people most at need," said Thomas Hayes, chairman of Great Hill Capital in New York."And there might be less of an inclination for cities to shut down."Nearly 79,000 people were being treated for COVID-19 infections in U.S. hospitals on Thursday, a Reuters tally showed, the most at any time during the pandemic.
Of the 11 major sectors in the S&P 500, energy and tech shares gained the most, while utilities and healthcare were the only losers in percentage terms.