Chinese markets remained closed for the Lunar New Year holiday
Shares in Asia continued to fall on Tuesday, driven by concerns about the outbreak of a new virus in China that threatens global economic growth.
The Chinese markets remained closed for the Lunar New Year holiday. Japan’s Nikkei 225 index lost 0.8% during the first transactions, standing at 23,166.94, while Australia’s S&P / ASX 200 fell 1.4%, to 6,991.70. South Korean Kospi fell 2.5%, reaching 2,191.06.
“Although the increase in preventive and corrective measures to limit and contain, as well as transparency, have improved greatly compared to SARS (acronym for severe acute respiratory syndrome), fears of a global epidemic have not occurred. disappeared, “said Vishnu Varathan of Mizuho Bank in Singapore.
A streak of sales on Wall Street caused the Dow to suffer its first five days in a row with losses since the beginning of August, and the S&P 500 had its worst day since the beginning of October. The streak occurred after China announced a sharp increase in cases of the virus.
Airlines, hotels and other companies that depend on travel and tourism suffered heavy losses. Gold prices and bonds rose because brokers turned to the security they offer.
“The weekend saw that there were more cases,” said Quincy Krosby, a market strategist at Prudential Financial. “That raised concerns among investors and brokers that this could be lengthened. Now the question is: ‘What will happen to global growth if this continues and increases?”
Brenda Allin is a financial reporter, focusing on technology and national security. Before joining Majestic PR, Barb worked as a staff writer at Fast Company and spent two years as a foreign correspondent in London (Uk). Her work has been published on NBR, Business Insider, Medium and many other outlets.