Shares fell on Wednesday as new cases of COVID-19 in the United States recovered to levels not seen since the peak of the outbreak, raising further questions about the strength and longevity of an economic recovery.
The country reported 34,700 new cases of the virus on Tuesday as cases rose in states that reopened early due to blockades aimed at slowing the spread of the disease. Higher numbers have been reported on just two other days: April 9 and April 24, when 36,400 record cases were recorded.
The Dow Jones Industrial Average fell 233 points, or 0.89 percent, while the broader S&P 500 and the heavy-tech Nasdaq Composite fell 0.68 percent and 0.33 percent, respectively.
The new coronavirus data came just a day after Dr. Anthony Fauci, head of the National Institute of Allergy and Infectious Diseases, told a House committee that the next few weeks may be critical to fighting an increase in states like Arizona and North Carolina. Companies and recreational hangouts across the country resume operations.
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“Returning to normal will be a step-by-step process and not throw caution to the wind,” he said. “Plan A, don’t go into the crowd. Plan B, if you do, be sure to wear a mask.”
In the healthcare sector, hospital operators like HCA Healthcare and Community Health Systems came under pressure after a federal judge ruled in favor of a Trump administration plan requiring them to disclose the real costs of tests and procedures. routine, an initiative aimed at lowering prices. for patients An appeal is planned.
In transportation, a federal judge ordered Fiat Chrysler and General Motors, two of the top 3 US automakers. To meet and settle a lawsuit over whether a company had a competitive advantage when union leaders bathed in cash and other advantages.
GM accused Fiat Chrysler of extortion, saying the rival won labor concessions during contract talks because United Auto Workers officials were bribed with money from a job training center.
Federal District Judge Paul Borman ordered GM CEO Mary Barra and Fiat Chrysler counterpart Mike Manley to meet in person before July 1 “to reach a sensible solution to this huge legal distraction.” .
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In Silicon Valley, where Apple and Amazon helped push the Nasdaq to its 21st record close of the year on Tuesday, the iPhone maker was under pressure after cable services cited a report in Politico about a possible investigation from its App Store. by the US Department. USA Justice and state attorneys general.
Meanwhile, social media giant Facebook is at risk of losing ice cream maker Ben & Jerry’s advertising as companies increase pressure on disinformation and hate speech on the platform and its competitors, the Wall reported. Street Journal.
In commodities, West Text Intermediate crude oil, the US benchmark, fell 1.6 percent to $ 39.74, while gold fell 0.2 percent to $ 1,778 an ounce.
Stock markets were lower overall in Europe, with Britain’s FTSE falling 2.06 percent and France’s CAC 40 and Germany’s DAX each falling 1.82 percent.
In Asia, China’s Shanghai Composite rose 0.3 percent, while Japan’s Nikkei benchmark and Hong Kong’s Hang Seng fell 0.07 percent and 0.5 percent, respectively.