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Asian markets rise as coronavirus concerns ease

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AFP Hong Kong
Last Updated : Feb 12 2020 | 1:36 PM IST

Markets in Asia-Pacific rose on Wednesday following another positive lead from Wall Street with investor sentiment mixed about the immediate and long-term impact of the coronavirus outbreak.

The virus, officially named COVID-19 on Tuesday, has spooked markets around the world, having killed more than 1,100 people and infected tens of thousands since it emerged in central China at the end of last year.

Tokyo's benchmark Nikkei 225 index closed 0.7 percent higher, while Shanghai ended the day up 0.9 percent.

In afternoon trade elsewhere, Hong Kong put on 1.0 percent, Sydney gained 0.5 percent and Singapore rose 1.2 percent. Seoul, Taipei, and Wellington were also higher.

The positive morning following fresh record closes by the S&P 500 and the Nasdaq in New York on Tuesday.

"Despite the doom and gloom being shown in the real economy, Asian equity markets are a sea of green today. COVID-19 fears have been shrugged off, with regional markets preferring to follow Wall Street's lead," said Jeffrey Halley, senior market analyst for Asia-Pacific at OANDA.

"Unfortunately, seas of green are often associated with algal blooms, which tend to suffocate all life in the water within them. The rallies of the past two days should be approached with caution."
Tokyo - Nikkei 225: UP 0.7 percent at 23,861.21 (close) Hong Kong - Hang Seng: UP 1.0 percent at 27,862.05 Shanghai - Composite: UP 0.9 percent at 2,926.90 (close) Euro/dollar: DOWN at 1.0903 from $1.0918
Pound/dollar: DOWN at 1.2955 from $1.2968 Euro/pound: DOWN at 84.16 pence from 84.19 pence Dollar/yen: FLAT at 109.85

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First Published: Feb 12 2020 | 1:36 PM IST

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