Market Recap: Monday, April 6

Stocks extended gains Monday - with each of the major indexes rallying at least 7% - as investors geared up for another week of closely monitoring developments around the global coronavirus outbreak and policymakers’ responses to the pandemic.

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MYLES UDLAND: Welcome back to "Yahoo Finance Live." Myles Udland here in New York.

We have a huge rally on our hands as we head towards the closing bell here on this Monday. The Russell 2000 leading the way. Small caps up some 8%. The S&P, NASDAQ, and Dow all up in excess of seven percentage points. Right now, Dow up 1,600 points. It was up as much as 1,700 during today's session.

If we look at the Dow's leaders, today we're seeing Boeing do a lot of the work. The aerospace company up about 19%. So obviously a stock that has a lot of challenges ahead of it. It's really gotten slammed over the last several weeks, but this stock has had some big 20% moves several times up and down just in the last 10 trading sessions or so. So another huge move here for Boeing.

But some other big winners in the Dow today, I think a name that really stands out to me is Visa. That stock is up 11%. If we go back to the bull market of 2019, everyone loved Visa, and that stock went up every day, and it's actually fared quite a bit better than the overall index. So Visa, McDonald's, Apple all in the top third of Dow performers today. Certainly--

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[INAUDIBLE] the market. And here's the closing bell on Wall Street on this Monday.

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All right, that was the closing bell on this Monday here in New York City. We're going to see huge gains across the board. We'll see exactly where the numbers shake out in just a bit.

Want to bring in Yahoo Finance Editor in Chief Andy Serwer now for a little bit more on today's market action. And Andy, we've seen a number of-- I guess we can just call them eye popping either way they go. I mean, it's not like a 7% rally in the market is a particularly healthy sign for any market.

But when you look at the news we've seen over the last 24 hours, I think there's been a lot of optimism about the virus and stopping or slowing the spread of it here in the US. What's kind of your read on where things stand right now as we get into the month of April, which we've been told is going to be the hardest month from a health perspective?

ANDY SERWER: Yeah, I mean, definitely signs we're seeing the curve flatten in Italy, for instance. New York, maybe, and that's according to Governor Cuomo. But obviously the market wants to get ahead of the game. The market was ahead of the game sending stocks down before the worst of the coronavirus. And now I guess your analysis might be-- one's analysis might be that it's sending stocks higher in anticipation of the worst of it being over.

Now the two problems or questions are, number one, are buyers or market participants correct, or is this going to be a head fake? And we've seen a head fakes in bear markets before. A lot of this stuff took place in the fall of 2008. That's number one.

And number two, Myles, even if the market is correct in the sense that the worst of it's over, that doesn't mean that it's going to be that it won't be bad for quite some time. So in other words, we could have a situation where, OK, yeah, we rallied nicely here up 6%, 7%. Maybe we'll get a few more percentage points up over the next coming sessions. But then we're in for a long slog where the market kind of flatlines for a while, maybe for a year. It's so hard to say.

I mean, no one knows, but, you know, you always get this feeling that, wow, there are other shoes to drop. But, of course, that's uncertain as well. And I hate to sort of just leave it at that, but really, it's just anyone's guess at this point [INAUDIBLE].

RICK NEWMAN: Hey, guys, you know, I've spent some time looking at those curves at the University of Washington, those projections and elsewhere. And my big question is when the curve does flatten, what do we do then? The market seems to be having an assumption here that once the curve flattens we all go back to work and things get back to normal, and that's not the case. When the curve flattens, that means the death toll will flatten out. Hopefully at some point we'll not have any more deaths. Number of cases will flatten out as well.

So the projections show we could hit that point around May 1 in some of the early states like New York and June 1 in later states like Florida, but then it's not as if everybody then goes back to work. I think we all have no idea what happens when we feel like we've contained the thing, but we're going to be in this sort of no man's land where we still can't go back to doing normal things, and a lot of businesses are going to remain shut down. So to my mind, the market is just looking right over that.