A historic week for the stock market ended with a big, fat question mark: what will the government and the Federal Reserve do about the coronavirus outbreak that threatens to decimate the longest-running bull market on record?
The virus has virtually crippled swaths of manufacturing in China, the second-largest economy in the world, and the country is a big buyer of products and services from other countries. U.S. technology companies such as Apple depend on Chinese supplies.
The breadth and intensity of this coronavirus-fueled stock market selloff has some strategists scratching their heads. Thomas Lee, founder of Fundstrat Global Advisors, has some ideas why the market is acting oddly.
The U.S. stock market’s tumble into correction territory this week indicates the global spread of the COVID-19 epidemic has triggered a full-fledged “growth scare,” according to analysts at RBC Capital Markets.
U.S. stocks held solidly lower after the major benchmarks tumbled into correction territory intraday, amid elevated worries over the rapid, global spread of the COVID-19.
Gold futures give up earlier gains on Thursday to finish lower for a third consecutive session, as U.S. bond yields traded above the day’s lows, helping to offset support for the metal even as worries about the spread of COVID-19 outside of China continue to spark selling in global equity markets.