Coronavirus fears can’t keep stock markets down. Overseas shares—and U.S. stock futures—are rising despite about 3,100 more cases reported in China. About 41,000 coronavirus cases have been reported world-wide since late January.
Hong Kong’s Hang Seng Index is up 1.3% in overseas trading. Europe’s FTSE 100 Index is up 0.9%.
Dow Jones Industrial Average futures are up 0.3%. S&P 500 futures are 0.2% higher. Nasdaq Composite futures have risen 0.4%.
The telecom sector is the big premarket mover Tuesday. Sprint (ticker: S) looks to be the stock of the day. Shares are up almost 65% in premarket trading. The telecom company stock rose on reports its merger with T-Mobile US (TMUS) will be approved by antitrust regulators. T-Mobile is up 7.8% to $91.12.
That’s given a boost to Deutsche Telekom (DTE.Germany) shares, which are up 4.1% in overseas trading, and SoftBank (9984.Japan) stock, which has risen 1.5%. Deutsche owns T-Mobile shares and SoftBank owns Sprint stock.
The merger news has even been good for T-Mobile competitors AT&T (T) and Verizon (VZ), which are up 1.5% and 1.2%, respectively. Investors often believe a more consolidated industry leads to more rational pricing. That’s good for everyone, as the saying goes: A rising tide lifts all boats.