On Friday, the 1st of May 2020, the US stocks had witnessed a brutal bloodbath following release of a raft of downbeat US economic data from the ISM (Institute of Supply Management) including a plunge of US manufacturing activity to an 11-year-low reading, while the US President Donald Trump’s latest remark that involved a threat to incline additional tariff on China accusing Beijing of structuring the pandemic pathogen in a Chinese lab, had added to further investors’ woes amid an already recessed global economy which appeared to be dipping deeper every week as the pandemic-led forced closures had shifted the global economies in to a jawboning halt.
Aside from that, followed by the staggering sell-off on the first day of May, when most of the world’s money markets were closed due to the International Labours’ day, a number of analysts were quoted saying that the fifth month of the year, May, which often had experienced deeper wounds in to the money markets, would likely to witness a more ravaging sell-offs this year as a number of global economic majors were still drowning deeper in to a recession territory with little signs of recovery in a short- to medium-term outlook.
Besides, as all three key indices of Wall St. had winded down Friday’s (May 1st) market down by more than 2 per cent, paring all of their weekly gains scored earlier, a chief investment officer at Lenox Wealth Advisors in New York, David Carter said on Friday (May 1st), “Markets had a very strong April as they looked through the valley of economic weakness to a point when stimulus will reignite economic growth.
But it could be a longer and deeper valley than many hoped…Trump poking China was the last thing markets needed given so much present economic and financial uncertainty. ” Citing statisitcs, on Friday’s (May 1st) Wall St.
closure, the trade-sensitive Dow dwindled 2.55 per cent to 23,723,69, S&P 500 had shrugged off 2.81 per cent to 2,830.71, while bearing the heaviest brunt on Friday’s (May 1st) Wall St., Nasdaq Composite was jolted 3.2 per cent lower to 8,604.95.