(Bloomberg) – US stocks have plummeted, fearing that the Chinese-sourced coronavirus will weigh heavily on corporate profits. The dollar surged and gold peaked in seven years as investors sought refuge.
Microsoft Corp., Apple Inc. and other big names in technology have lost money after Japan reported two deaths and South Korea confirmed its first death from the disease in a report on the spread of illness in Beijing. ViacomCBS Inc. fell after sales fell short of estimates, while Morgan Stanley fell after agreeing to buy E * Trade Financial Corp. for $ 13 billion. The S&P 500 index balanced the worst of its decline in the afternoon amid gains for automakers and real estate companies.
The yen extended its fall to 112 to the dollar against a disappointing economic backdrop and early positioning before the end of the fiscal year next month. The treasures have gathered.
The sentiment turned negative on Thursday, one day after stocks hit record levels as infection from China continues to spread beyond the mainland. Lost revenue adds to gloom, alongside new warnings about the impact of the pathogen from AP Moller-Maersk A / S, the world’s largest container transport company, and Air France-KLM . Goldman Sachs Group Inc. chief equity strategist said a short-term stock market correction seems more likely.
“These could be larger players protecting themselves from the risk of the spread of the coronavirus,” said Chris Zaccarelli, chief investment officer of the Independent Advisor Alliance. “This, in addition to Goldman’s call that a correction is more likely, has people on the edge.”
Elsewhere, lower results than AXA SA and Telefonica SA weighed on the European equity gauges. Asian stocks traded in a mixed fashion. Oil won in New York.
Here are some key events to come:
Earnings season continues with Deere & Co. results set for Friday. Eurozone PMI and inflation data also expected on Friday. A group of 20 finance ministers and central bank chiefs are expected to meet February 22-23 in Riyadh, Saudi Arabia. Saudi Arabia, and are expected to discuss efforts to support growth amid the coronavirus threat.
These are the main movements on the markets:
stocks
The S&P 500 index lost 0.4% at the close of trading in New York. The Stoxx Europe 600 index fell 0.9%. The MSCI Asia Pacific index fell 0.7%.
Currencies
The Bloomberg Dollar Spot index jumped 0.5%, while the euro slipped 0.2% to $ 1.0787. The Japanese yen fell 0.6% to 112.08 per dollar.
Obligations
The 10-year Treasury yield fell by five basis points to 1.52%, while Germany’s 10-year yield fell by three basis points to -0.45%. Britain’s 10-year yield fell two basis points to 0.57%.
Raw materials
Crude West Texas Intermediate gained 0.9% to $ 53.78 a barrel. Gold strengthened 0.5% to $ 1,619.80 an ounce.
– With the help of Cormac Mullen, Adam Haigh, Todd White and Yakob Peterseil.
To contact journalists on this story: Vildana Hajric in New York at [email protected]; Claire Ballentine in New York at [email protected]
To contact the editors responsible for this story: Christopher Anstey at [email protected], Brendan Walsh
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© 2020 Bloomberg L.P.
(Bloomberg) – US stocks have plummeted, fearing that the Chinese-sourced coronavirus will weigh heavily on corporate profits. The dollar surged and gold peaked in seven years as investors sought refuge.
Microsoft Corp., Apple Inc. and other big names in technology have lost money after Japan reported two deaths and South Korea confirmed its first death from the disease in a report on the spread of illness in Beijing. ViacomCBS Inc. fell after sales fell short of estimates, while Morgan Stanley fell after agreeing to buy E * Trade Financial Corp. for $ 13 billion. The S&P 500 index balanced the worst of its decline in the afternoon amid gains for automakers and real estate companies.
The yen extended its fall to 112 to the dollar against a disappointing economic backdrop and early positioning before the end of the fiscal year next month. The treasures have gathered.
The sentiment turned negative on Thursday, one day after stocks hit record levels as infection from China continues to spread beyond the mainland. Lost revenue adds to gloom, alongside new warnings about the impact of the pathogen from AP Moller-Maersk A / S, the world’s largest container transport company, and Air France-KLM . Goldman Sachs Group Inc. chief equity strategist said a short-term stock market correction seems more likely.
“These could be larger players protecting themselves from the risk of the spread of the coronavirus,” said Chris Zaccarelli, chief investment officer of the Independent Advisor Alliance. “This, in addition to Goldman’s call that a correction is more likely, has people on the edge.”
Elsewhere, lower results than AXA SA and Telefonica SA weighed on the European equity gauges. Asian stocks traded in a mixed fashion. Oil won in New York.
Here are some key events to come:
Earnings season continues with Deere & Co. results set for Friday. Eurozone PMI and inflation data also expected on Friday. A group of 20 finance ministers and central bank chiefs are expected to meet February 22-23 in Riyadh, Saudi Arabia. Saudi Arabia, and are expected to discuss efforts to support growth amid the coronavirus threat.
These are the main movements on the markets:
stocks
The S&P 500 index lost 0.4% at the close of trading in New York. The Stoxx Europe 600 index fell 0.9%. The MSCI Asia Pacific index fell 0.7%.
Currencies
The Bloomberg Dollar Spot index jumped 0.5%, while the euro slipped 0.2% to $ 1.0787. The Japanese yen fell 0.6% to 112.08 per dollar.
Obligations
The 10-year Treasury yield fell by five basis points to 1.52%, while Germany’s 10-year yield fell by three basis points to -0.45%. Britain’s 10-year yield fell two basis points to 0.57%.
Raw materials
Crude West Texas Intermediate gained 0.9% to $ 53.78 a barrel. Gold strengthened 0.5% to $ 1,619.80 an ounce.
– With the help of Cormac Mullen, Adam Haigh, Todd White and Yakob Peterseil.
To contact journalists on this story: Vildana Hajric in New York at [email protected]; Claire Ballentine in New York at [email protected]
To contact the editors responsible for this story: Christopher Anstey at [email protected], Brendan Walsh
bloomberg.com“data-reactid =” 37 “> For more articles like this, visit us on bloomberg.com
Subscribe now to stay one step ahead of the most trusted source of business information. “data-reactid =” 38 “> Subscribe now to stay ahead with the most trusted source of business information.
© 2020 Bloomberg L.P.