A drop in Chinese cases but increase in Cases of Corona Virus in other parts of the World, South Korea and Italy, Creating an Ugly risk Off Day! WHO officials in China This week.
Spoos -2.56%, Stoxx 50 -3.45% Mib -4.65% (the new Worry zone is Italy), Dax -3.5%,South Korea-3.87%( the other worry Zone) and Shanghai Only closed down .23%. U.S. 10 year yields trading below 1.4%,All time low yield is 1.31%,30 year yields 1.84% Gold +.2.2%,Silver +1.5% Soybeans -1.4%,Copper -1.4% and lastly CL -3.9% and Brent -4.2% Flight To safety products up and products that drive economy are lower
New coronavirus cases fall in China, but WHO concerned by global spread- The World Health Organization welcomed the reported decline in new Chinese cases, but said it was concerned about the number of new infections elsewhere with no clear link to China such as travel history or contact with a confirmed case of COVID-19, as the disease caused by the virus is known. https://www.reuters.com/article/us-china-health/new-coronavirus-cases-fall-in-china-but-who-concerned-by-global-spread-idUSKCN20G05W
- S Korea: increased COVID-19 cases increase by 161 to 763; ~7.7k troops have been quarantined after 11 were infected
- Gov Of Lombardy Region of Italy (23 Feb): Number of cases in region rise to 89
- -ITA Official(23 Feb): 3rd person died of COVID-19 in N Italy; more than 150 cases have been reported in Italy, emergency measures have been imposed on areas in Lombardy, Veneto & Milan https://bbc.in/32lEYlp
- -OE24: Austria have stopped all train traffic to Italy
- WHO’s Tedros(22 Feb): Concerned about number of COVID-19 cases with no clear epidemiological link such as travel history to China/ or contact with a confirmed case
- Update: Cumulative cases 77262(+416); Cumulative death toll 2595(+150); Cumulative healed 24758(+1851) https://bit.ly/2upYaSr
Aussie Dollar Tests 11-Year Low, Yen Gains on Virus Concerns- The Aussie, seen as a proxy for global growth risks because of the nation’s ties to China’s economy, sank as much as 0.5% to 65.91 U.S. cents. On Friday, it touched 65.86 U.S. cents, the weakest since 2009. The yen advanced for a second straight day, by 0.3% to 111.33. https://www.bloomberg.com/news/articles/2020-02-23/aussie-dollar-tests-11-year-low-yen-gains-on-virus-concerns?srnd=markets-vp
Italy quarantines northern towns in coronavirus outbreak- Number of cases tops 150 in Europe’s biggest cluster as fears grow over pace it is spreading
All central banks have pledged Financial assistance of Some Shape or Form. Fiscal Policy also likely to be called upon to Stabilize Markets if need arises. ( ECB central Bank Official said
‘ Governments need to open the Fiscal Spigots” An Economist at CFC financial raises possibility of Zero,0% Q1 GDP growth for China.