Markets price in easing coronavirus fears and positive economic data – The National

Markets price in easing coronavirus fears and positive economic data – The National

The main boost for sentiment was China's decision to cut tariffs on $75bn of US imports. Market concerns about coronavirus appeared to ease a little at the end of last week, aligning with an improvement in economic data around the world and suggesting that some fears about the outbreak might have run their course.. Reports that a vaccination may be found were partly responsible for the boost in sentiment, helping markets to look past the immediate impact.. With other reports detailing the severe disruption the outbreak is causing to supply chains, forcing companies outside of China to slow or halt production, it might not be long before there is also the risk of greater financial market dislocation.. The main boost for market sentiment at the end of last week was a report that China will cut tariffs on some $75 billion (Dh275.47bn) worth of US imports by 50 per_cent later this month.. Economic data also provided a respite from the negativity about the coronavirus, helping propel US equities to record highs at one point.. The question from will be: can the current run of improving data compensate for the negative fallout from coronavirus, and will the markets be right in