Wall Street opened higher on Tuesday, building on the previous day’s gains, as investors hope the slowing growth of the Covid-19 pandemic will speed up the process of restarting the global economy.

The Dow Jones Industrial Average jumped 800 points from the opening bell, while the S&P 500 and the Nasdaq Composite are both gaining around three percent.

Stocks in Europe and Asia also surged earlier in the day on hopes that the rapid spread of coronavirus may be easing in some of the places that have been hit hardest.

“Investors chose to accentuate the positives, as they have been mostly doing since the bear-market low,” Ed Yardeni, president and chief investment strategist at Yardeni Research, said in a note to clients seen by CNBC. “In our opinion, we are in the midst of a great rebalancing away from bonds and into stocks.”

He added that “the bear market has most likely discounted a depression-like recession packed into Q2 and Q3.”

The strategist said: “It certainly hasn’t discounted the possibility of an actual apocalyptic depression lasting through at least 2021 and beyond. On the contrary, the market’s recent action suggests that investors are betting on an economic recovery starting during Q4 and continuing through 2021.”

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Source: RT