Asian shares go up amidst Coronavirus worry
On Wednesday, stocks of Asia and the US stock futures started surging after investors are now being less worried about the Coronavirus outbreak and its impact after the number of new coronavirus victims started becoming a bit less.
As reported by Reuters, MSCI’s broadest index of Asia-Pacific shares outside Japan got back on track from an unstable start to surge 0.4%.
Irrespective of the early declines, Chinese shares started to trade higher by adding 0.6%. Australian shares soared 0.37%, whereas Japan’s Nikkei stock index were up 0.95%.
Euro Stoxx 50 futures gained 0.65%, German DAX futures went up 0.67%, while FTSE futures added 0.74%.
However, Euro seems to be still struggling to recover after disappointing data from Germany, Europe’s largest economy emerged, and triggered worries that the euro zone is more vulnerable to external shocks than the initial expectations.
On the other hand, the largest economy in the world, next to the US, China is still grappling to get its manufacturing sector back online after the impact made by the new virus.
“Part of the thinking that is supporting markets is the actions that China takes to support its economy. Any investor concern around impact on demand globally from the virus will be offset by expectations that global central banks will ride to the rescue,” said Michael McCarthy, chief market strategist at CMC Markets in Sydney.
(Image source: REUTERS/Jason Lee)