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You can find the current article at its original source at https://www.theguardian.com/business/live/2020/feb/25/stock-market-sell-off-coronavirus-companies-croda-dow-ftse-business-live
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| FTSE 100 heads towards one-year low as market rout continues – business live | FTSE 100 heads towards one-year low as market rout continues – business live |
| (32 minutes later) | |
| European markets are in the red again after Dow plunged by 1,000 points last night | European markets are in the red again after Dow plunged by 1,000 points last night |
| How bad could coronavirus, and the market selloff, get? | |
| Well..... Simon Powell of investment bank Jefferies fears that the latest cases in South Korea, Italy and Iran point to the risk of a global pandemic. | |
| Powell suspects that there are more cases in America than officially reported. And given movement of Chinese, Korean and Iranian nationals into the US, we could soon see an outbreak there that “significantly” rattles markets. | |
| Powell writes that US hospitals could be “swamped with acute cases” - especially as it will be extremely hard to lockdown an American city. | |
| Stocks are really on the slide in New York. | |
| The Dow has lost another 1.3%, or 374 points, on top of the 1,000 shed on Monday. | |
| Sentiment is shifting fast, in the face of more coronavirus infections. | |
| Nearly every share on the FTSE 100 is down today, as fears of a Covid-19 pandemic ripple through the City again. | Nearly every share on the FTSE 100 is down today, as fears of a Covid-19 pandemic ripple through the City again. |
| This latest selloff comes as new coronavirus cases are reported in Switzerland, Austria and Croatia..... | This latest selloff comes as new coronavirus cases are reported in Switzerland, Austria and Croatia..... |
| As things stand, the FTSE 100 index is on track to lose roughly another £30bn today, on top of the £62bn shed yesterday. | As things stand, the FTSE 100 index is on track to lose roughly another £30bn today, on top of the £62bn shed yesterday. |
| Every sector is down, led by consumer cyclicals (-2%), telecoms (-2%), energy (-2%), utilities (-1.9%) and banks (-1.9%). | Every sector is down, led by consumer cyclicals (-2%), telecoms (-2%), energy (-2%), utilities (-1.9%) and banks (-1.9%). |
| It’s turning into another rout! | It’s turning into another rout! |
| Britain’s FTSE 100 index is now down another 130 points, or 1.7%, at 7030, as we enter the final hour of trading. | Britain’s FTSE 100 index is now down another 130 points, or 1.7%, at 7030, as we enter the final hour of trading. |
| That’s still a four-month low on an intraday basis, but would be the lowest closing level in a year. | That’s still a four-month low on an intraday basis, but would be the lowest closing level in a year. |
| Cruise operator Carnival is now down 5.7%, on fears that tourism will be badly hurt by the coronavirus, followed by Meggitt (which cited the virus as a threat this morning). | Cruise operator Carnival is now down 5.7%, on fears that tourism will be badly hurt by the coronavirus, followed by Meggitt (which cited the virus as a threat this morning). |
| Wall Street has fallen into the red too -- with the Dow down 168 points at 27,792. That early recovery is but a memory..... | Wall Street has fallen into the red too -- with the Dow down 168 points at 27,792. That early recovery is but a memory..... |
| Wall Street’s rally is running out of gas - just like Europe’s short-lived ‘recovery’ this morning. | Wall Street’s rally is running out of gas - just like Europe’s short-lived ‘recovery’ this morning. |
| The S&P 500 and the Dow are now flat, quickly losing their early 0.5% bounce from 45 minutes ago. | The S&P 500 and the Dow are now flat, quickly losing their early 0.5% bounce from 45 minutes ago. |
| That’s hit sentiment in Europe, where stocks are falling further. | That’s hit sentiment in Europe, where stocks are falling further. |
| In London, the FTSE 100 is now down 85 points, or 1.2%, at 7,071 points - a new four-month low. | In London, the FTSE 100 is now down 85 points, or 1.2%, at 7,071 points - a new four-month low. |
| Luxury goods firms are expecting to lose tens of billions of pounds of sales because of the crisis. | Luxury goods firms are expecting to lose tens of billions of pounds of sales because of the crisis. |
| A survey of top chief executives and finance officers estimated the industry could lose €30 billion to €40 billion in sales this year, for an estimated total sales of €309 billion in 2020. | A survey of top chief executives and finance officers estimated the industry could lose €30 billion to €40 billion in sales this year, for an estimated total sales of €309 billion in 2020. |
| Some of this is products that would have been shipped to China (where many stores are still closed). But it also covers potential sales lost because tourists from China, and beyond, will be staying home this year. | Some of this is products that would have been shipped to China (where many stores are still closed). But it also covers potential sales lost because tourists from China, and beyond, will be staying home this year. |
| That would mean a 15% drop in earnings for the industry, or around €10bn. | That would mean a 15% drop in earnings for the industry, or around €10bn. |
| Quartz has more details: | Quartz has more details: |
| Just in: US consumer confidence has risen, but isn’t actually as strong as expected. | Just in: US consumer confidence has risen, but isn’t actually as strong as expected. |
| The Conference Board’s index of consumer morale has come in at 130.7, rather weaker than the 132 which economists expected. | The Conference Board’s index of consumer morale has come in at 130.7, rather weaker than the 132 which economists expected. |
| That’s still a rise, though, because January’s report has been revised down to 130.4 from 131.6. | That’s still a rise, though, because January’s report has been revised down to 130.4 from 131.6. |
| Consumers reported that their current economic situation had worsened, but they’re optimistic about future prospects. Or at least they were! This survey took place before the virus escalated in recent days. | Consumers reported that their current economic situation had worsened, but they’re optimistic about future prospects. Or at least they were! This survey took place before the virus escalated in recent days. |
| In other data news: US house price inflation picked up in December, with prices rising by 3.8% over the last year. | In other data news: US house price inflation picked up in December, with prices rising by 3.8% over the last year. |
| The coronavirus could trigger recessions across the global economy unless it is contained soon, fears Dr. Kerstin Braun, president of Stenn Group (which provides trade finance). | The coronavirus could trigger recessions across the global economy unless it is contained soon, fears Dr. Kerstin Braun, president of Stenn Group (which provides trade finance). |
| She warns that outbreak also threatens to harm global trade, and badly jolt the auto industry. | She warns that outbreak also threatens to harm global trade, and badly jolt the auto industry. |
| Breaking away from coronavirus.... more than 1,800 jobs are at risk at supermarket chain Tesco, as it shakes up its bakeries operations. | Breaking away from coronavirus.... more than 1,800 jobs are at risk at supermarket chain Tesco, as it shakes up its bakeries operations. |
| The Press Association has the details: | The Press Association has the details: |
| Shares in US biotech firm Moderna have surged by 20% in early trading in New York. | Shares in US biotech firm Moderna have surged by 20% in early trading in New York. |
| Last night, the Boston-based firm became the first company to release a potential coronavirus vaccine, which it has sent to the US National Institutes of Health to be tested in humans. | Last night, the Boston-based firm became the first company to release a potential coronavirus vaccine, which it has sent to the US National Institutes of Health to be tested in humans. |
| That doesn’t mean the vaccine is ready to be released, of course -- but it’s an important step forward. | That doesn’t mean the vaccine is ready to be released, of course -- but it’s an important step forward. |
| Cambridge biotech. | Cambridge biotech. |
| DING DING! The opening bell is ringing on Wall Street, as traders return to their desks after Monday’s whopping selloff. | DING DING! The opening bell is ringing on Wall Street, as traders return to their desks after Monday’s whopping selloff. |
| And the early moves are up. | And the early moves are up. |
| Shares are staging a small recovery after the Dow’s 1,000 point plunge yesterday, with technology stocks among the risers. | Shares are staging a small recovery after the Dow’s 1,000 point plunge yesterday, with technology stocks among the risers. |
| Dow Jones industrial average: up 155 points or 0.5% at 28,116 | Dow Jones industrial average: up 155 points or 0.5% at 28,116 |
| S&P 500: up 18 points or 0.5% at 3,244 | S&P 500: up 18 points or 0.5% at 3,244 |
| Nasdaq: up 84.9 points or 0.9% at 9,306 | Nasdaq: up 84.9 points or 0.9% at 9,306 |
| So, a small recovery... can it last? | So, a small recovery... can it last? |
| Upscale American department store chain Macy’s is starting to feel the impact of coronavirus. | Upscale American department store chain Macy’s is starting to feel the impact of coronavirus. |
| After reporting results today, the company said it expects a “small impact” on sales in the current quarter, due to lower tourism levels. | After reporting results today, the company said it expects a “small impact” on sales in the current quarter, due to lower tourism levels. |
| This is “nothing to be concerned about yet”, Macy’s insisted, but it also cautioned that the situation is still “unfolding”. | This is “nothing to be concerned about yet”, Macy’s insisted, but it also cautioned that the situation is still “unfolding”. |
| US shoe vendor Wolverine World Wide has warned that the coronavirus will hurt its profitability, by disrupting its supply chain and cutting sales. | US shoe vendor Wolverine World Wide has warned that the coronavirus will hurt its profitability, by disrupting its supply chain and cutting sales. |
| Wolverine, whose brands include Hush Puppies, Merrell and Bates, predicts that Covid-19 will knock $30m off its revenues in the first half this year. | Wolverine, whose brands include Hush Puppies, Merrell and Bates, predicts that Covid-19 will knock $30m off its revenues in the first half this year. |
| That will also reduce profits by around 4%, or 10 cents per share, to around $2.20 per share. | That will also reduce profits by around 4%, or 10 cents per share, to around $2.20 per share. |
| It says: | It says: |
| The coronavirus is having a painful impact on Italy, forcing several towns to lock down. | The coronavirus is having a painful impact on Italy, forcing several towns to lock down. |
| The Italian economy was already on the brink of recession, and financial analyst Kathleen Brooks of Minerva fears it could be driven in to a deep crisis: | The Italian economy was already on the brink of recession, and financial analyst Kathleen Brooks of Minerva fears it could be driven in to a deep crisis: |