Europe pulls back from record highs on renewed fears coronavirus spread in China

2020-02-13 12:42:56 GMT (Economies.com)
Europe pulls back from record highs on renewed fears coronavirus spread in China

European stocks fell on Thursday, heading for the first daily loss in 4 days, and pulling back from all-time highs on profit taking, on fears over the acceleration of the coronavirus spread in China.

 

The Stoxx Europe 600 index was lower by 1.1% at 11:35 GMT, after it closed higher by 0.6% yesterday, in its third daily gain after reaching its all-time high of 431.16 points.

 

Yesterday's surge was due to a global risk-on move, especially at Wall Street, after official data showed a slowdown in new cases of the coronavirus in China.

 

The European pan index opened today's session lower, on the cusp of its first daily loss in 4 days, and pulling back from all-time highs on profit taking, with most of the major European exchanges and sectors falling today.

 

The mining sector saw the sharpest losses in Europe today, dropping more than 1.9%, followed by the automobile sector with a drop by 1.6%, due to mounting fears over the coronavirus outbreak and its impact on the Chinese economy.

 

The Chinese health authorities revealed in press conference today that new cases of coronavirus rose to 15,152, the largest daily increase since the epidemic emerged, and claimed 254 victims, the largest death toll in a single day.

 

The rise in the number of new cases is due to applying a new diagnostic method, using CT scans that can diagnose the virus more quickly, compared to the traditional method of DNA testing.

 

This showed that the number of infected cases rose to 59,804, and the death toll rose to a total of 1,367 victims.

 

The IMF Managing Director, Kristina Georgieva, told CNBC TV yesterday that the novel coronavirus has a sharper impact on the global economy than SARS in 2002/03.

 

S&P 500 futures shed 0.9% today, after the index closed higher by 0.7% yesterday at Wall Street, posting its third consecutive daily gain and its record high of 3,381.47.

 

Back to Europe, the Euro Stoxx 50 index lost 1.2%, France's CAC 40 fell by 1.1%, and the UK's FTSE 100 fell by 1.6%.

 

While the German DAX lost 1.0%, on profit taking after it reached its all-time high of 13,758.70 points.

 
 
 
  Symbol Last Change Chg.%
1.1135
0.0430
4.0163%
1.2455
0.0809
6.9509%
Tadawul
6376.62
49.70
0.79%
14.446
1.863
14.810%
21.828
-1.600
6.830%
24.84
-1.50
5.69%
1620.150
122.735
8.197%
 
 
US
 
Europe
 
Asia