Wall Street tumbles amid Wuhan virus fears

Wall Street’s main indexes fell more than 1% on Monday as investors worried about the economic fallout of the Wuhan virus outbreak that has compelled China to extend the Lunar New Year holidays and businesses in order to restrict movement by closing some operations.

Sruthi Shankar for Reuters:

Wuhan virus fears hit stocksThe benchmark S&P 500 was jolted off record highs last week as China locked down several cities and curbed travel, reminding investors of the deadly SARS virus that killed nearly 800 people in 2002-03 and cost the global economy billions.

Travel-related stocks, including airlines, casinos and hotels, were the worst-hit on Wall Street, while shares of sectors exposed to China’s growth, including technology, materials and energy, pressured the markets.

At 1:13 p.m. ET, the Dow Jones Industrial Average fell 1.26% to 28,624.77. The S&P 500 dropped 1.28% to 3,253.17 and the Nasdaq Composite declined 1.58% to 9,167.40. The indexes were on track to post their biggest single-day percentage loss since October.

Technology and internet heavyweights that have powered the recent rally including Apple Inc, Microsoft Corp , Alphabet Inc and Amazon.com Inc dropped between 1.6% and 3%.

MacDailyNews Note: The death toll in China rose to 81 on Monday and a small number of cases linked to people who traveled from Wuhan have been confirmed in more than 10 countries, including Thailand, France, Japan and the United States. The New York Post today reports of “a nurse in Wuhan who insists in a shocking online video that close to 90,000 people in China have the disease, far more than the 1,975 reported by officials.”

Apple CEO Tim Cook has pledged the company will donate to help support all of those affected by the Wuhan virus:

5 Comments

  1. 28 days later. This or future stuff coming out of China will be the pandemic of the world. Nuclear war? Nah, the horrid conditions of China’s wet markets and/or a biological weapon designed by China and released on its own people then spread to the world will be our undoing. Couldn’t happen? Don’t kid yourselves….

    1. Influenza claims thousands of people every year, usually people with pulmonary diseases and weak immune systems. The virus strains mutate regularly and the CDC believes that actual cases are underreported. Statistically speaking, however, if this is a typical flu strain, there is very little reason to panic. In the worst influenza epidemic in recorded history (1918), less than 0.6% of people died. The likelihood of death by influenza has only declined since then, while the world population has grown without bounds.

      That’s if the strain is natural.

      Of course there are other scenarios with incalculable chances of contagion. If this isn’t a natural mutation of influenza but rather a human biological weapon, then common medical knowledge and statistics are off the table. Israeli intelligence suspects this may be possible. https://www.washingtontimes.com/news/2020/jan/24/virus-hit-wuhan-has-two-laboratories-linked-chines/

      Now would be a very good time to ensure that international cooperation is at its best, and that agencies like the WHO or CDC are fully funded and staffed with the brightest and best. You know, all those expensive and freedom-sucking governmental functions that the Trumpicans are constantly whining about. That’s the only defense for this particular risk. Sadly, the POTUS has shown repeatedly that he doesn’t believe in deep international coordination and he really doesn’t understand science at any level. He’s done his best to undermine all US federal agencies. So, good luck.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.