US stock futures this morning are rebounding with the Dow Jones index eyeing more than 1,000-point gain on the prospects of a huge coordinated global government bailout.
Global exchanges also saw more modest gains early in Tuesday’s trading as crude prices rebounded slightly from Monday’s 25% price drop.
Overnight the Federal Reserve issued $112 billion in new liquidity loans to Wall Street’s primary brokers. The Fed has raised bar on the overnight operations to $150 billion after Monday’s trading losses.
This move along with the possibility of another rate cut by the Fed are meant to steady jittery institutional investors.
Wall Street CEOs are scheduled to meet with White House officials Wednesday morning to discuss future fiscal and monetary operations in the face of a possible Covid-19 induced global recession as Italy moves to quarantine the entire country.
Whisper numbers on the size of the aid package are astronomical. Multi-trillion dollar stimulus programs are being considered by central banks to shock the global financial system.