Coronavirus fallout: Markets rebound after facing worst day since Oct

Chinese markets remain closed all week

Representational image. PHOTO: REUTERS

LONDON:
European markets rebounded early on Tuesday after the previous day’s thumping, which saw investors worried about the economic fallout from the coronavirus outbreak in China huddle in safe-haven assets.

There was relief as Europe’s Stoxx 600 and Wall Street futures bounced as much as 0.5% from their closing levels on Monday, which was the worst day for world stocks since October.

Chinese markets remain closed all week, but the 0.5% overnight drop in Tokyo’s Nikkei was more modest than Monday’s and many of Asia’s other bourses that were open rallied from the day’s lows too.


Brent oil prices stabilised above $59, safely above their three-month low of $58.50 and 10-year US Treasury yields stabilised above 1.60% after briefly dipping below that level. During the day, Brent crude was off $0.12 at $59.20 while US crude eased $0.02 to $53.12. Brent is now down 18% from a spike caused by the US killing of Iran’s top military commander at the start of the year.

Published in The Express Tribune, January 29th, 2020.

strong { float: none; } blockquote { background: #f3f3f3; text-align: center; padding: 20px; position: relative; font-style: italic; font-size: 1.2em; } blockquote::before, blockquote::after { color: black; font-size: 3em; font-family: serif; font-weight: bold; position: absolute; } blockquote::before { content: "“"; left: 10px; top: -10px; } blockquote::after { content: "”"; right: 10px; bottom: -10px; } strong.location-names { height: 22px; } .sidebar-blog.widget-spacing { top: 0 !important; } .storypage-social-bottom { display: block !important; } .parnter-info span { display: none; } sidebarblog-withthumbnail .sidebarblog-caption h3, .sidebarblog-withthumbnail .sidebarblog-caption p:first-child { font-size: 18px; font-family: georgia, sans-serif !important; } h1, h2, h3, h4, h5, h6, ul.sidebarblog-withthumbnail h3 { text-shadow: none !important; } .sidebarblog-withthumbnail .sidebarblog-caption h3, .sidebarblog-withthumbnail .sidebarblog-caption p:first-child { font-size: 19px; font-family: georgia, sans-serif; } .sidebarblogmain-img h3 { font-size: 22px; line-height: 23px; } @media screen and (max-width: 767px) { span.story-text p, span.story-text p a { font-size: 18px; } } .story-inner-caption, .story-leftside-relateditems.related-comp h2, span.branding, span.branding.video-branding-flex-cta-item { color: #000 !important; } .navbar-wrapper { max-height: 40px; } ul.logo-links li, ul.logo-links li a, .story-leftside-relateditems.related-comp h2, .story-leftside-relateditems.related-comp h3, .tbl-ccpa, .tbl-ccpa-right { color: black !important; } ul.sidebarblog-withthumbnail { min-height: 300px !important; } /* Hide Google anchor ads */ ins.adsbygoogle[data-anchor-status] { display: none !important; height: 0 !important; visibility: hidden !important; } html { /* Old-school fallback (forces scrollbar space even if not needed) */ overflow-y: scroll; /* Modern browsers (reserves scrollbar gutter space without showing a disabled scrollbar) */ scrollbar-gutter: stable; } .w-button { display: none !important; } @media only screen and (min-width: 1024px) { span.top-big-img .featured-image-global img { width: 100% !important; max-width: 100%; } } p:empty { display: none; } @media only screen and (min-width: 1024px) { div#google_ads_iframe_\/11952262\/tribune-business-print-story-2_0__container__ { max-height: 90px !important; overflow: hidden; } } .sidebar-social-icons ul li a { display: inline-block; width: 32px; height: 32px; } span.comment-time { color: black; } span.comment-time { color: black; } .storypage-rightside .featured-image-global img { width: 100%; height: 100%; object-fit: cover; display: block; } .storypage-rightside .featured-image-global { background: #f7f6f6; } .horizontal-story-image img { border: #f5f2f2 1px solid; aspect-ratio: 208 / 130; } .story-image img { aspect-ratio: 208 / 130; border: #edebeb 1px solid; } .main-image-wrapper .featured-image-global { aspect-ratio: 640 / 480; /* Default: Desktop ratio */ width: 100%; display: block; background-color: #f2f2f2; /* Prevent white flash */ overflow: hidden; } .main-image-wrapper .featured-image-global img { width: 100%; height: 100%; object-fit: cover; display: block; } @media (max-width: 767px) { .main-image-wrapper .featured-image-global { aspect-ratio: 412 / 290; /* Mobile ratio */ } } p img { width: 100%; } .story-excerpt { margin-bottom: 10px; }.sidebar-social-icons.widget-spacing { margin: 10px 0; }