Senators are optimistic that they will agree on a fiscal stimulus package that will help the economy weather the economic devastation that is resulting from the coronavirus outbreak, which is boosting markets, in addition to bottom-pickers hunting for low priced, beaten down companies.
In the US, an initial look at the S&P 500 sectors shows strong gains across the board, led by energy (+9.2%), industrials (+7.4%) and materials (+7.1%), while the consumer staples sector (+4.5%) lags.
Futures for the NASDAQ Composite spiked 299.25 points, on 4.3%, to 7,283.75.
The blue-chip index, which has erased over three years of gains in one month, is now on track for its second best day in almost 12 years.
The S&P 500 dropped 2.9% to 2,237 and closed 34% below a record set last month as both indexes sank further into bear markets amid the COVID-19 outbreak.
The planemaker has lost more than two-thirds of its value so far this year as the health crisis crimped travel demand, forcing it to seek $60 billion in USA government loans for the aerospace industry. The day prior, a new procedural vote on the bill was blocked by Democrats for a second time.
The S&P 500 was up 7.1%, shortly before 3 p.m.
Economists are topping each other's dire forecasts for how much the economy will shrink this spring due to the closures of businesses, and a growing number say a recession seems inevitable.
Mr. Trump also said Tuesday that he wants most Americans to go back to work by Easter. Norwegian Cruise Lines, MGM Resorts and American Airlines Group were all up at least 30%. Energy companies and banks were also strong, though all remain well below where they were a month ago.
Markets rose even as more dismal data came in about the global economy.
Data on Monday showed USA business activity hit a record low in March, bolstering economists' views that the economy was already in recession.
"The risk is that this wall of support from the Fed and the positive reaction in markets may give Congress a sense that it has more time and the pressure to deliver a package is reduced", Knightley said. Some say the number could be way beyond 1 million, amid a wave of layoffs, topping the prior record of 695,000 set in 1982.
"It's still early days, of course - perhaps investors can start to envisage life beyond the coronavirus", said Craig Erlam, senior market analyst at OANDA Europe.
For most people, the coronavirus causes only mild or moderate symptoms, such as fever and cough.