sunny.png
Saturday March 28th, 2020 5:34PM

Asian shares, US futures sink as virus crisis deepens

By The Associated Press
Related Articles
  Contact Editor

BANGKOK (AP) — U.S. futures slipped more than 3% on Monday and share benchmarks in many Asian markets logged sharp losses as still more governments tightened restrictions to fight the coronavirus pandemic.

India's Sensex plummeted 12.1% after a sharp drop on the open triggered a circuit breaker halt to trading. Singapore's benchmark plunged 7.7% after the city announced a sharp increase in confirmed infections and its first two deaths.

Shares also fell 7% in Bangkok.

However, Japan's Nikkei 225 index held steady, gaining 1.9% by midday Monday. Investors appeared to be encouraged by the likelihood the International Olympic Committee might postpone, rather than scrap, the Tokyo Games.

Japan’s Prime Minister Shinzo Abe acknowledged that a postponement could be unavoidable as Canada and Australia added to the immense pressure that has been mounting on organizers by saying they wouldn't send athletes to Tokyo unless the Olympics are postponed for a year.

In the U.S., top-level negotiations between Congress and the White House continued after the Senate voted against advancing a nearly $2 trillion economic rescue package. Another vote was expected Monday.

The Democrats said the bill was tilted too much toward aiding corporations and would not do enough to help individuals and healthcare providers weather the crisis brought on by the pandemic.

By 9 p.m. EST, the S&P 500 future contract was down 3.5% at 2,209.60. The future for the Dow dropped 3.6% to 18,356.00.

Markets reopened to an altered business landscape as lockdowns and closures intended to halt the spread of the new coronavirus expanded over the weekend to include many cities around the world and the number of people infected surged past 336,000.

“Risk aversion appears here to stay as investors become more fearful that this could be the worst global recession during peacetime,” Edward Moya of Oanda said in a commentary.

“Every passing day it seems lockdown efforts are intensified globally thus it seems financial markets will remain nervous until we see the infection rate improve in both the U.S. and Europe," Moya said.

Sydney's S&P/ASX 200 fell 5.6% to 4,546.00 after plunging more than 8% sharply just after the open. Australia announced a 66.4 billion Australian dollar ($38.5 billion) stimulus package on Sunday. That's in addition to an earlier mandated $10 billion package and other stimulus from the central bank.

South Korea's Kospi lost 5.3% to 1,482.46. Hong Kong's Hang Seng index shed 4.6%, to 21,756.57, while the Shanghai Composite index slipped 3.1% to 2,660.17.

The Nikkei was at 16,887.78.

Stocks fell sharply on Wall Street and the price of oil sank again Friday as New York became the latest state to decide that nearly all workers should stay home to limit the spread of the coronavirus. California and several other states in the U.S. and a growing number of countries have also imposed limits on business activity.

The S&P 500 lost 4.3% to 2,304.92 on Friday while the Dow skidded 4.6% to 19,173.98. The Nasdaq composite index lost 3.8% to 6,879.52.

This week will bring fresh data that are likely to underscore the damage to Asian economies from the outbreak of the virus that originated in China.

A sharp surge in cases and in deaths across the region, especially in Southeast Asia, have also raised the level of alarm.

Shutdowns mean less demand for oil. U.S. crude has dropped about 21%, dipping below $20 a barrel last week for the first time since February 2002. However, on Monday benchmark crude was up 22 cents at $22.85 per barrel in electronic trading on the New York Mercantile Exchange.

Brent crude, the international standard, dropped 72 cents to $26.26 per barrel.

Sweeping shutdowns in many countries and resulting layoffs raise the specter of a global recession.

Ultimately, investors say they need to see the number of new infections stop accelerating for the market to end its prolonged, bouncing tumble to lows not seen for over a decade.

The S&P 500, the benchmark for many index funds held in retirement accounts and the measure preferred by professional investors, is down 31.1% since reaching a record high a month ago. Last week marked its biggest weekly loss since October 2008 during the global financial crisis.

Investors have continued to seek safety in U.S. government bonds, driving their yields broadly lower. The 10-year Treasury yield, which influences interest rates on mortgages and other consumer loans, slid to 0.81% early Monday from 0.94% late Friday.

At nearly $2 trillion, the U.S. rescue package is the biggest effort yet to aid households and shore up the U.S. economy, the world's biggest.

But markets have continued to fall as scores of other governments and many central banks have acted as they try to stave off or at least alleviate the impact of a recession.

As investors scramble for cash, demand for the U.S. dollar has been soaring. The dollar was at 110.18 Japanese yen on Monday, down from 110.83 yen late Friday.

The euro rose to $1.0742 from $1.0697.

More than 14,400 people have died of the coronavirus worldwide, while nearly 100,000 people have recovered.

For most people, the coronavirus causes only mild or moderate symptoms, such as fever and cough, and those with mild illness recover in about two weeks. Severe illness including pneumonia can occur, especially in the elderly and people with existing health problems, and recovery could take six weeks in such cases.

  • Associated Categories: Associated Press (AP), AP National News, AP Online National News, Top General short headlines, AP Online Headlines - Washington, AP Online Congress News, AP Business, AP Business - Economy, AP Business - Financial Markets
© Copyright 2020 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Asian shares, US futures sink as virus crisis deepens
U.S. futures have declined and Australia's share benchmark plunged 8.5% as work on more stimulus for the U.S. economy hit snags in the U.S. Senate
11:05PM ( 10 minutes ago )
IOC looking at postponing Tokyo Olympics; Canada pulls out
The IOC will look at postponing the Tokyo Olympics during four weeks of talks amid mounting criticism by athletes and sports officials during the coronavirus pandemic
10:56PM ( 20 minutes ago )
The Latest: Limited movement allowed in Chinese city Wuhan
The central Chinese city of Wuhan, where the virus outbreak emerged, is now allowing for limited movement within and outward as its months-long lockdown gradually eases
10:53PM ( 23 minutes ago )
Associated Press (AP)
Sen. Rand Paul tests positive for virus, forcing quarantines
Coronavirus has arrived in the United States Senate
9:53PM ( 1 hour ago )
The Latest: China says all 39 new cases from overseas
China’s National Health Commission has reported 39 new cases of COVID-19, all of which it says are “imported” infections in recent arrivals from overseas
9:35PM ( 1 hour ago )
New York quiets to slow virus as state becomes next hot spot
New York ordered most residents to stay home from work and everyone to keep their distance as the state quickly becomes one of the world's biggest coronavirus hot spots
9:14PM ( 2 hours ago )
AP National News
The Latest: Trump says he ordered FEMA to help states
President Donald Trump says he’s ordered the Federal Emergency Management Agency to ship mobile hospital centers to the hard-hit states of Washington, California and New York amid the coronavirus pandemic
6:26PM ( 4 hours ago )
The Latest: US Ambassador Young tests positive for COVID-19
The U.S. Ambassador to the west African nation of Burkina Faso has become the most senior American diplomat known to have tested positive for the coronavirus
5:42PM ( 5 hours ago )
New York to shut down as it becomes next virus hot spot
New York City's 8.5 million people were preparing to go behind closed doors as the city quickly becomes one of the world's biggest coronavirus hot spots
4:30PM ( 6 hours ago )
AP Online National News
IOC looking at postponing Tokyo Olympics in 4 weeks of talks
The IOC will look at postponing the Tokyo Olympics during four weeks of talks amid mounting criticism by athletes and sports officials during the coronavirus pandemic
6:13PM ( 5 hours ago )
During virus, priests master livestream at Gothic cathedral
Priests at St.-Vincent-de-Paul Church in Marseille live-streamed their Mass on Sunday to try to reach parishioners despite virus-related confinement measures
6:02PM ( 5 hours ago )
Arrival of virus in Gaza raises fears about vulnerable areas
The arrival of the coronavirus in the Gaza Strip, an impoverished enclave where the healthcare system has been gutted by years of conflict, raised fears that the pandemic may now prey on some of the most vulnerable populations in the world
3:31PM ( 7 hours ago )
Top General short headlines
Business Fallout: Supercomputers vs. coronavirus; more masks
IBM is offering up its speedy supercomputer to help combat the new coronavirus
9:42PM ( 1 hour ago )
At a glance: Nearly $2 trillion coronavirus rescue package
Congress and the White House are negotiating a nearly $2 trillion rescue package of healthcare and economic aid amid the coronavirus outbreak and national shutdown
8:54PM ( 2 hours ago )
The Latest: White House urges labs to prioritize tests
President Donald Trump says he’s ordered the Federal Emergency Management Agency to ship mobile hospital centers to the hard-hit states of Washington, California and New York amid the coronavirus pandemic
6:37PM ( 4 hours ago )
AP Online Headlines - Washington
Business Fallout: Marriott to furlough thousands of workers
Marriott said that it will furlough thousands of corporate employees at its U.S. headquarters and globally
1:45PM ( 9 hours ago )
The Latest: Prison riot in Colombia leaves 23 dead
 Authorities in Colombia say 23 prisoners died and another 83 were injured in a riot and attempted escape over poor conditions inmates argue will spread the coronavirus
1:27PM ( 9 hours ago )
The Latest: Trump scolds lawmakers critical of response
President Donald Trump has scolded lawmakers who have been critical about the federal response to the coronavirus pandemic
12:53PM ( 10 hours ago )
AP Online Congress News
Q&A: What does 90-day tax delay mean for filers?
The Trump administration has announced that taxpayers will be allowed to delay filing and paying their federal tax bills for 90 days as part of an emergency relief plan amid the coronavirus pandemic
5:43PM ( 5 hours ago )
Pandemic postcard from California: 'Wish you weren't here'
The coronavirus is clearing out California's most popular destinations
4:51PM ( 6 hours ago )
Italy's restrictions grow more specific in bid to slow virus
Italy's restrictions have grown more specific in a bid to slow the spread of the coronavirus in the country, which has registered the second-most cases after China and the most deaths globally
4:32PM ( 6 hours ago )
AP Business
Trump's fate tied to an unknown: how fast economy recovers
The coronavirus has flung the U.S. economy into a dangerous tailspin
7:57AM ( 15 hours ago )
Pandemic bonds prove good for investors, less so for nations
To offset the costs of trying to stem a global epidemic, the World Bank and partners created “pandemic bonds" several years ago, hoping to leverage private capital from Wall Street to help countries during outbreaks
5:23AM ( 17 hours ago )
The Latest: Japan urges against nonessential travel to US
Japan's foreign ministry has issued a travel warning for its nationals, urging not to make unessential trips to the United States because of the rapidly expanding coronavirus outbreak in that country
2:49AM ( 20 hours ago )
AP Business - Economy
Lower-division soccer clubs among hardest hit by pandemic
The suspension of soccer competitions because of the coronavirus has taken a toll on top teams everywhere
9:01AM ( 1 day ago )
Virus outbreak poses massive challenges for US charities
With its global scope and its staying power, the coronavirus outbreak poses unprecedented challenges for charities and nonprofit groups that rely on donations
8:58AM ( 1 day ago )
Trump keeps talking during market hours; stocks keep tanking
When President Donald Trump speaks, financial markets gyrate and quiver in real time
1:01AM ( 1 day ago )
AP Business - Financial Markets
IOC looking at postponing Tokyo Olympics; Canada pulls out
The IOC will look at postponing the Tokyo Olympics during four weeks of talks amid mounting criticism by athletes and sports officials during the coronavirus pandemic
10:56PM ( 20 minutes ago )
The Latest: Limited movement allowed in Chinese city Wuhan
The central Chinese city of Wuhan, where the virus outbreak emerged, is now allowing for limited movement within and outward as its months-long lockdown gradually eases
10:53PM ( 23 minutes ago )
Congressional rescue talks churn as crisis deepens
The latest economic rescue package being negotiated in Washington is now nearly $2 trillion
10:52PM ( 24 minutes ago )
The Latest: Australian Olympians advised to prepare for 2021
The Australian Olympic Committee is advising its athletes to prepare for an Olympics in 2021
10:46PM ( 30 minutes ago )
What you need to know today about the virus outbreak
The death toll from the global coronavirus pandemic has surpassed 14,600 people worldwide and sickened more than 335,000
10:31PM ( 45 minutes ago )