Coronavirus and its impact on global markets
The outbreak of the ongoing virus from China may have affected the global capital markets more than you thought.
On Friday, countries from three continents reported Coronavirus cases and the world share markets have started tumbling down.
This marks their worst week since the 2008 global financial crisis with $5 trillion being wiped off markets. Unfavorably, the expectations of seeing the global markets stabilizing again have shattered due to the fact that the number of international Coronavirus cases have been boosted.
“Investors are trying to price in the worst-case scenario and the biggest risk is what happens now in the United States and other major countries outside of Asia. These are highly uncertain times, no one really knows the answer and the markets are really panicking,” said SEI Investments Head of Asian Equities John Lau.
As reported by Reuters, Mainland China reported 327 new cases. Outside of China, An Italian man who arrived in Nigeria became the first coronavirus case in the most populous country in Africa whereas a person who returned on a flight from Iran became the first in New Zealand.
Belarus and Lithuania – countries in eastern Europe – reported their first cases.