World’s Stock Exchanges Dips due to Covid-19
Worst Asian stock exchanges week since 2008 rescission. Global stock barometer has tumbled 10 percent this week due to massive covid-19 coronavirus fears . European and Asian equities faced a fresh bout of selling on the final trading day of the week. MSCI’s Asia Pacific index dropped 2.6 per cent , while the sroxx Europe 600 fell 3.3 per cent, and FTSE 100 dropped by 3 per cent.S&P futures suggested Wall Street Benchmark index would decline 1.2 per cent in opening trade.
Indian Stocks Market slumped more than 3 per cent on Friday continuing their downward spiral for the sixth session in a row, as fears the Covid-19 coronavirus outbreak may trigger recession across major economies spooked their global peers. Hopes the coronavirus would be contained to China vanished on Friday as infections spread rapidly around the world, compelling countries to stockpile medical equipment and investors to take flight in expectation of a global recession. The S&P BSE Sensex ended at 38,297.29, lower by 1448.37 points – or 3.64 per cent – from its previous close, and the Nifty shut shop down 431.55 points – or 3.71 per cent – at 11,201.75.
Concerns about the spread of the disease and a global financial slowdown are driving deep dips in the stock market. Retirement portfolios are not immune to market volatility, worrying some savers that they may lose valuable assets they’ve been stashing away.
Asian stocks fell sharply lower in early trading Friday, as Japan’s Nikkei sank to into correction territory as coronavirus fears continued to rattle global markets. The Nikkei plunged 4% NIK, -3.67% .
Hong Kong’s Hang Seng Index HSI, -2.42% fell 2.6%, while the Shanghai Composite SHCOMP, -3.71% slid 2.9% and the smaller-cap Shenzhen Composite 399106, -4.93% dove 3.6%. South Korea’s Kospi 180721, -3.30% tumbled 3%. Stocks inched up in Malaysia FBMKLCI, -1.52% , but sank in Taiwan Y9999, -1.24% , Singapore STI, -3.23% and Indonesia JAKIDX, -1.50% . Australia’s S&P/ASX 200 XJO, -3.25% retreated 2.9%.
The Stoxx Europe 600 index SXXP, -2.87% slid 4.5% to 371.98. The index fell 3.75% on Thursday and, meeting one definition of a correction, dropped 10.2% from its record close of 433.90 reached on February 19, 2020. The index is down over 11.5% for the week and that is on par with a 11.4% drop in August 2011.
Elsewhere, the German DAX 30 index DAX, -3.53% slumped 5%, while the French CAC 40 index PX1, -3.03% and the FTSE 100 index UKX, -2.98% each dropped more than 4%. All of those indexes have now moved into correction territory. The euro EURUSD, -0.1545%, however, rose 0.3% against the dollar to $1.1042.
(With Inputs Market Watch and Financial Times)