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GLOBAL MARKETS-Stocks, oil fall as coronavirus fears grip markets

Published 27/02/2020, 07:41 am
© Reuters.  GLOBAL MARKETS-Stocks, oil fall as coronavirus fears grip markets
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* Tracking the novel coronavirus: https://tmsnrt.rs/3aIRuz7

* 10-yr Treasury yield hits fresh record low (Updates prices, adds comment)

By Rodrigo Campos

NEW YORK, Feb 26 (Reuters) - Stocks and oil prices resumed their fall on Wednesday after a local authority said over 80 people were being monitored for the novel coronavirus in New York State's Long Island, adding to concern over spread in Europe and the Middle East.

Financial markets have been reacting to news of the virus' spread because of the potential impact of the disease's outbreak on the global economy.

U.S. and German bond yields resumed their fall while gold prices rose.

Health officials in Nassau County, New York, said on Wednesday that they were monitoring 83 people who visited China and may have come in contact with the coronavirus, but Governor Andrew Cuomo said the state has had no confirmed cases so far. need to more information before markets have a further correction or get comfortable things won't escalate further," said Jason Draho, head of Americas asset allocation at UBS Global Wealth Management, New York.

"Markets will be very jumpy until there's increasing confidence the virus is abating and that it won't be a global pandemic," he said.

On Wall Street, the Dow Jones Industrial Average .DJI fell 80.13 points, or 0.3%, to 27,001.23, the S&P 500 .SPX lost 5.18 points, or 0.17%, to 3,123.03 and the Nasdaq Composite .IXIC added 29.90 points, or 0.33%, to 8,995.52. market stocks lost 1.31%. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS closed 1.23% lower, while Nikkei futures NKc1 rose 0.82%.

Oil prices fell after hundreds of new coronavirus cases were reported in Europe and the Middle East, while the New York state report added to the concern that energy demand would decline.

"It's still all about the virus here," said Bob Yawger, director of energy futures at Mizuho in New York. "It's going to be hard for risk assets to gather momentum."

U.S. crude CLc1 fell 2.2% to $48.80 per barrel and Brent LCOc1 was last at $53.53, down 2.58% on the day. benchmark yield on 10-year U.S. notes US10YT=RR touched a fresh record low of 1.301% and last rose 1/32 in price to yield 1.3287%, from 1.33% late on Tuesday. The 30-year bond US30YT=RR matched its Tuesday record low and last fell 9/32 in price to yield 1.8148%, from 1.803%. dollar ticked up from a two-week low hit the previous session, though moves in major currencies were muted for the most part as investors remained cautious. Sterling gave up Tuesday's sharp gains. dollar index =USD rose 0.073%, with the euro EUR= up 0.08% to $1.0888.

The Japanese yen weakened 0.14% versus the greenback at 110.38 per dollar, while Sterling GBP= was last trading at $1.2908, down 0.74% on the day.

Spot gold XAU= added 0.5% to $1,643.59 an ounce. Copper CMCU3 lost 0.43% to $5,660.50 a tonne. Coronavirus spreads outside of China

https://tmsnrt.rs/38V85hO Global stocks' performance vs. reported coronavirus cases

https://tmsnrt.rs/3c3WvTr Virus wipes out trillions off world stocks

https://tmsnrt.rs/32u4SDt

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