Stocks skid after coronavirus infection spread in China

IFC Markets

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Oct 31, 2012
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Dollar strengthening halts
US stock market ended the week on down notes on Friday as the respiratory virus spread in China. The S&P 500 fell 0.9% to 3295.47, retreating 1.0% for the week. Dow Jones industrial slid 0.6% to 28989.73. The Nasdaq lost 0.9% to 9314.91. The dollar strengthening continued as Markit’s composite PMI reached a 10-month high reading for January. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, rose 0.2% to 97.86 but is lower currently. Futures on stock indexes point to lower openings today.


European stock indexes rebounded
European stocks rebounded on Friday supported by positive data. Both GBP/USD and EUR/USD continued thier slide on Friday with euro turning higher currently and Pound lower still. The Stoxx Europe 600 Index recovered 9%. The DAX 30 gained 1.4% Friday to 13576.68 as both manufacturing and services PMIs beat expectations for January. France’s CAC 40 rose 0.9% and UK’s FTSE 100 advanced 1% to 7585.98 as the composite PMI returned to growth after recording a contraction for December.

EU50 testing MA(50) 1/27/2020 Market Overview IFC Markets chart



Nikkei falls as China extends New Year holidays
Asian stock indices are down today with markets in China, Hong Kong, Australia and South Korea closed for holidays. Nikkei fell 2% to 23343.51 despite resumed yen slide against the dollar. China’s markets are closed while the end of New Year holidays were extended to Sunday from Thursday.


Saudi Aramco slips while Brent slumps
Brent futures prices are extending losses today. Prices fell on Friday as oil-field services firm Baker Hughes reported the number of US oil rigs rose by three this week to 676: Brent for March settlement fell 2.2% to $60.69 a barrel Friday. Saudi Aramco shares are down currently 0.4% to 34.15 riyals as they continue trading on country’s Tadawul exchange. Brand Finance's annual global study ranked it the most valuable brand in the Middle East and North Africa, with a brand value of $46.8bn. Aramco was ranked 24th globally, and the second most valuable oil and gas brand, within striking distance of Shell.


Gold extends gains
Gold prices are extending gains after rising Friday. February gold gained 0.4% to 1571.30 on Friday.