Coronavirus effect, Wall Street in deep red: Dow Jones closes at -3.58%, also bad for Europe

2020-03-05T21:25:32.988Z

Wall Street closed sharply, canceling Wednesday's rebound. The indices suffered growing fears over the spread of coronavirus in the United States, which pushed ten-year government bond yields to below new lows, falling below 0.9%. The strong drop in the aviation and cruise sector stocks was mainly weighed on the indices, given the concerns for tourism. To reassure the country after the new registered cases, President Donald Trump wrote on Twitter that there are "about 100,000 coronavirus cases worldwide and 3,280 deaths", but in the United States "only 129 cases and 11 deaths so far, because we were quick to close our borders. We work very hard to keep these numbers as low as possible! ". In the afternoon (local time), the Senate then approved the $ 8.3 billion emergency plan to deal with the emergency almost unanimously. The Djia closed down by almost a thousand points, selling 3.6%; the S&P 500 sold 106 points, 3.39%; Nasdaq lost 279 points, 3.1%. The WTI contract in April ended the day down 1.9% to $ 45.90 a barrel. Heavy session for all European price lists, which however recovered from the minimum signed shortly after the start of Wall Street. OPEC has launched the cut of one million and 500 thousand barrels per day to keep crude oil prices high. Investors took this decision as a sign of confirmation of the slowdown in the economy. Milan closed the day with a drop of 1 and 78%, in line with the performance of the other exchanges: London -1.62%, Paris -1.90%, Frankfurt -1.51%. At Piazza Affari all sectors were weak, especially in the energy and banking sectors. The btp / bund spread rose to 174 basis points, with the yield of our 10-year yields at 1 and 06%. Euro against dollar at odds 1 and 12.