Fundamental Comment

Asian shares slump amid rising concerns of Coronavirus

Asian shares slumps amid rising concerns of Coronavirus

Asian shares fell during Thursday’s trading, as there was no sound above the Corona virus and the concern it raises in global markets about the impact of the virus on the global economy.

Australia S&P/ASX 200 finished 1.36 percent down at 6,994.46 and South Korea’s Kospi index descended by 3.09 percent to 2,176.72, mainly affected by the losses experienced by tourism companies due to the cancellation of flights to China.

In Japan, Nikkei 225 index slumped 0.55 percent to 23,215.71 points.

Hong Kong’s stock exchange will reopen on Wednesday whilst markets in mainland China will return from the lunar new year holiday next Monday.

This decline in Asian shares is due to the Coronavirus and the developments surrounding it in the current period.

The Corona virus continues to create confusion in global markets amid the announcement of new cases within China as the death toll rises, and the infection has spread to other countries.

Officials in China said that 2,861 people inside the country had contracted rapidly spreading infections, including 461 people in critical condition.

Meanwhile, the death toll has risen to 81, up from just 26 at the end of last week.

Globally, the detection of Corona-infected cases is on the rise, with 12 countries declaring the emergence of Corona.

Last week, World Health Organization (WHO) refused to declare a global emergency due to the Chinese virus, saying the situation was only too serious inside China.

Overnight, U.S. stock indexes fell at the fastest pace since October at the close of Monday's trading.

The Dow Jones Industrial Average fell 1.6 percent to 28,535 points, losing 453 points, where the industrial index posted its biggest daily losses since October 2, as did the S&P500, which fell 1.6 percent to 3,244 points. NASDAQ slumped by 1.89 percent to 9,139.31.

Meanwhile, the dollar index, which measures the performance of six major currencies against the US dollar, surged 0.04 percent at 97.80.

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