Global shares plunge on axed U.S. stimulus

 On Friday, global share markets were underpinned by U.S. Treasury Secretary Steven Mnuchin’s decision of nullifying some the country’s coronavirus relief programs.  The cancellation of funds for struggling businesses sparked a dispute between the Federal Reserve and the Department of Treasury.

In Asia, Japan’s benchmark index Nikkei recorded a 0.5% drop as South Korea’s KOSPI index remained flat. Australian shares made minimal gains, while Chinese shares budged as the blue-chip index advanced a shade higher. These mixed records sent MSCI’s broadest index of Asia-Pacific shares outside Japan up 0.2%.  

Futures for the S&P 500 dropped 0.7%, while futures for the Dow plunged 0.8%. The series of declines cancelled a robust lead from Wall Street’s upbeat session seen overnight.