* Oil sets single-day record jump on Trump's price war truce
* Americans filing for jobless claims hits 6.6 million
* Dollar, gold gain as investors seek safe-havens
* U.S. government projections see Q2 GDP declining over 7%
By Herbert Lash
NEW YORK, April 2 (Reuters) - Asian markets on Friday looked
to latch onto Wall Street's overnight gains after crude prices
notched their biggest one-day surge on record, helping offset
concerns about the depth of a global recession.
Despite the rally in stocks, investors still sought the
safety of the U.S. dollar and government bonds as an
unprecedented number of Americans - 6.6 million - filed jobless
claims due to coronavirus-induced lockdowns, as economic
concerns stayed front and center. U.S. stocks rallied after U.S. President Donald Trump said
he expects Russia and Saudi Arabia to announce an oil production
cut of up to 10 million to 15 million barrels as the two
countries signaled willingness to make a deal. Saudi Arabia said it would call an emergency meeting of the
Organization of the Petroleum Exporting Countries, Saudi state
media reported.
Nikkei futures NKc1 edged slightly higher, above the
index's cash close on Thursday, and Australia's benchmark
.AXJO was up 1.5% in early trade. Hong Kong futures HSIc1
were negative.
E-Mini futures for the S&P 500 ESc1 fell 0.04%. A gauge of
stocks across the globe .MIWD00000PUS advanced 1.24%
overnight, adding to modest gains earlier in Europe.
On Wall Street, the Dow Jones Industrial Average .DJI rose
2.2%, the S&P 500 .SPX gained 2.3% and the Nasdaq Composite
.IXIC added 1.7%.
Projections released by the U.S. Congressional Budget Office
showed U.S. gross domestic product will decline by more than 7%
in the second quarter as the coronavirus crisis takes hold.
Interest rates on 10-year Treasuries will likely be below 1%
during the quarter as well, the CBO said.
Investors sought the perceived safety of government bonds.
Benchmark U.S. 10-year notes US10YT=RR fell in price to last
yield 0.6111%.
Global coronavirus cases surpassed 1 million on Thursday
with more than 52,000 deaths as the pandemic further exploded in
the United States and the death toll climbed in Spain and Italy,
according to a Reuters tally. The dollar gained for a second straight day against a basket
of currencies as investors continued to take shelter in the U.S.
currency.
The dollar index =USD rose 0.672%, while the Japanese yen
JPY= weakened 0.21% versus the greenback at 108.15 per dollar.
Gold prices jumped as record high U.S. jobless claims
intensified fears of the coming economic slowdown and drove
investors toward the safe-haven metal.
U.S. gold futures GCcv1 settled 2.9% higher at $1,637.70
an ounce.
Highly rated U.S. corporate bond issuers raised a record
$110.502 billion this week, according to Refinitiv IFR data, as
firms borrowed cash in fear the coronavirus crisis may soon
limit their access to capital markets. Brent futures LCOc1 rose $5.20, or 21.0%, to settle at
$29.94 a barrel, while U.S. West Texas Intermediate (WTI) crude
CLc1 rose $5.01, or 24.7%, to settle at $25.32.
Despite the record surge on Thursday, oil prices have still
lost more than half their value this year.
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