The Dow Jones Index jumps more than 600 points.

[Dattur]

The Dow Jones Index jumps more than 600 points.

The Dow Jones Index continues to rise today. Most recently, it rose more than 600 points, rising for the second day in response to the results of the Federal Reserve's (Fed) monetary policy meeting yesterday.

Meanwhile, investors eased concerns about China's default. Evergrande Group, China's second largest real estate company

At 12:45 AM Thai time, the Dow Jones Industrial Average stood at 34,864.59 points, up 606.27 points or 1.77%.

Today's gains have turned all three Wall Street indices to positive. Considering the beginning of the week The Dow is up 0.7%, the S&P 500 is up 0.6% and the Nasdaq is up 0.2%.

Shares benefiting from the economic recovery rebounded in today's trading.

The Fed did not provide a clear timeline for a cut in its quantitative easing (QE) bond-buying program, only signaling it would cut QE soon, indicating that the Fed has not accelerated its withdrawal. The financial stimulus the Fed has used to support the economy during the COVID-19 pandemic.

In addition, investors eased concerns about Evergrande's default. After China's central bank injected a lot of liquidity into the market

Fed Chairman Jerome Powell said the Evergrande debt default would not have a direct impact on the US economy. While the default of US private debt is at a low level.

The Wall Street Journal reported today that Chinese authorities have told local Chinese officials to prepare for China's bankruptcy. Evergrande potential group

The warning signaled that the Chinese government had no intention of salvaging Evergrande. But it will be prepared to deal with the impact it will have on China's economic and social sectors. If Evergrande eventually faces bankruptcy

Bloomberg News reported that Chinese authorities have told Evergrand to pay off its bonds for retail investors. as well as avoiding default on dollar bonds.

Evergrande is due to pay interest in two installments today, with interest payments of 232 million yuan, or about $35.88 million, on yuan-denominated bonds due in September 2025. It also pays another $83.5 million in interest on dollar-denominated bonds due in March 2022.

Evergrande also has $47.5 million of pending interest on Sept. 29 on dollar-denominated bonds due in March 2024.

If Evergrand is unable to pay the bond interest as scheduled The company will have 30 days after the due date to find a way to pay off the debt incurred. before being announced that the company defaulted on payment

The Bloomberg News Agency reported that Evergrande defaulted on interest payments to at least two creditor banks on Monday.

Evergrande issued a statement earlier admitting the company was facing liquidity problems. and may not be able to pay the debt as scheduled

Evergrande had commercial debt totaling 2057 billion yuan ($32 billion) at the end of 2020.

In addition, Evergrande has more than $300 billion in debt, or about 10 trillion baht, equivalent to 2% of China's gross domestic product (GDP) after it borrowed money for years to support it. The expansion of China's real estate sector

The disclosure of US economic numbers today. The number of first-time claims for unemployment benefits rose 16,000 to 351,000 last week, the Labor Department said. That was the highest level in a month and beat the 320,000 analysts had expected.

However, the four-week average of the number of Americans who applied for unemployment benefits for the first time This is considered a better measure of the labor market. As it eliminated weekly volatility, it fell to 335,750, the lowest level since March 2020. This is the beginning of the Covid-19 epidemic in the United States.

The number of Americans who continued to apply for unemployment benefits rose 181,000 to 2.84 million.

The four-week median number of Americans who continued to claim unemployment benefits fell to 2.8 million.

IHS Markit, a financial services firm, said its Purchasing Managers' Index (PMI) included the US manufacturing and primary services sectors. It dropped to 54.5 in September, the lowest level in a year, from 55.4 in August.

The PMI index is affected by supply tightness. including a slowdown in new orders and employment. Although the confidence of the business sector has increased.

The PMI index remains above the 50 level, indicating that The US business sector is still expanding.