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Wall Street stocks fall amid concerns on coronavirus response – business live Wall Street stocks fall amid concerns on coronavirus response – business live
(32 minutes later)
The escalating coronavirus crisis has forced the first emergency UK interest rate cut since 2008The escalating coronavirus crisis has forced the first emergency UK interest rate cut since 2008
A Barclays banker in London has tested positive for coronavirus.
The employee was based at the 5 North Colonnade offices in Canary Wharf, which houses Barclays’ investment bank and is about a 5 minute walk from its headquarters.
The worker has been in self-quarantine since 9 March after learning they had been exposed to the virus.
Barclays is doing a deep-clean of their desk and surrounding areas, while colleagues and clients who were in close contact with the employee were told to self-isolate.
However, the Guardian understands that the office has not been evacuated.
Barclays issued a statement, saying:
It comes just days after a trader at Barclays’ New York offices tested positive for the coronavirus in Manhattan. They have been in self-quarantine since 3 March.
The Dow Jones industrial average is now down by 1,000 points. The Nasdaq has lost 3% and the S&P 500 has lost 3.3%.The Dow Jones industrial average is now down by 1,000 points. The Nasdaq has lost 3% and the S&P 500 has lost 3.3%.
A quick look at the S&P 500’s biggest fallers suggests that it’s the US energy sector that is taking much of the pummelling, alongside consumer-facing companies.A quick look at the S&P 500’s biggest fallers suggests that it’s the US energy sector that is taking much of the pummelling, alongside consumer-facing companies.
The US oil sector was one of the main targets of Russia, which thinks a price fall could knock out American shale companies (giving Russia more market share). And consumer spending for many companies will clearly take a hit if consumers are locked at home.The US oil sector was one of the main targets of Russia, which thinks a price fall could knock out American shale companies (giving Russia more market share). And consumer spending for many companies will clearly take a hit if consumers are locked at home.
Another notable mover: the mighty aircraft manufacturer Boeing is down by 9%, after saying it will draw down the full amount on a $13.8bn loan. It has already been under pressure because of the 737 Max crisis, so extra financial troubles could spell trouble.Another notable mover: the mighty aircraft manufacturer Boeing is down by 9%, after saying it will draw down the full amount on a $13.8bn loan. It has already been under pressure because of the 737 Max crisis, so extra financial troubles could spell trouble.
A bit more detail on Steve Mnuchin’s comments today, in a briefing with reporters.A bit more detail on Steve Mnuchin’s comments today, in a briefing with reporters.
The main thing he has mentioned so far is that hundreds of billions of dollars can be put into the US economy through deferred tax payments.The main thing he has mentioned so far is that hundreds of billions of dollars can be put into the US economy through deferred tax payments.
The impact of the virus was initially underestimated across the the world, he said. The US Treasury is coordinating internationally.The impact of the virus was initially underestimated across the the world, he said. The US Treasury is coordinating internationally.
Does that mean that the US will match the response of countries like the UK with a fiscal expansion?Does that mean that the US will match the response of countries like the UK with a fiscal expansion?
Just in: US regulators are relaxing regulations that have forced some airlines to run almost empty flights.Just in: US regulators are relaxing regulations that have forced some airlines to run almost empty flights.
The Federal Aviation Administration, part of the US Department of Transport, has announced it will waive use-it-or-lose-it rules that mean airlines must run flights to avoid losing slots at busy airports. It said:The Federal Aviation Administration, part of the US Department of Transport, has announced it will waive use-it-or-lose-it rules that mean airlines must run flights to avoid losing slots at busy airports. It said:
The main airports affected are New York’s John F. Kennedy (JFK) and LaGuardia airports, as well as Washington’s Ronald Reagan airport Chicago O’Hare, Newark Liberty, Los Angeles International (LAX), and San Francisco International will also have rules relaxed.The main airports affected are New York’s John F. Kennedy (JFK) and LaGuardia airports, as well as Washington’s Ronald Reagan airport Chicago O’Hare, Newark Liberty, Los Angeles International (LAX), and San Francisco International will also have rules relaxed.
Here’s some reaction to the economic aspects of the Rishi Sunak’s budget.Here’s some reaction to the economic aspects of the Rishi Sunak’s budget.
Sarah Carlson, a senior vice president at Moody’s, the influential ratings agency, said:Sarah Carlson, a senior vice president at Moody’s, the influential ratings agency, said:
John Hawksworth, chief economist at PwC, said:John Hawksworth, chief economist at PwC, said:
Public borrowing looks set to jump to about 3% of GDP this year, according to Samuel Tombs, chief UK economist at Pantheon Macroeconomics. He said:Public borrowing looks set to jump to about 3% of GDP this year, according to Samuel Tombs, chief UK economist at Pantheon Macroeconomics. He said:
The number of confirmed cases of coronavirus in the UK has risen to 456, up from 373 a day ago, according to the Department of Health.The number of confirmed cases of coronavirus in the UK has risen to 456, up from 373 a day ago, according to the Department of Health.
You can follow the spread of the infection here on our main coronavirus live blog:You can follow the spread of the infection here on our main coronavirus live blog:
US stock markets jumped last night with investors hoping for President Donald Trump to unleash a major fiscal response to the coronavirus outbreak. They now appear to be expressing their disappointment at the lack of action.US stock markets jumped last night with investors hoping for President Donald Trump to unleash a major fiscal response to the coronavirus outbreak. They now appear to be expressing their disappointment at the lack of action.
Even with central banks the world over bringing out their monetary bazookas, the hit to the economy means that it’s fiscal spending that is in focus.Even with central banks the world over bringing out their monetary bazookas, the hit to the economy means that it’s fiscal spending that is in focus.
There are some snaps coming through on the wires from US treasury secretary Steven Mnuchin: he says that Trump is focused on a broad strategy for a stimulus package.There are some snaps coming through on the wires from US treasury secretary Steven Mnuchin: he says that Trump is focused on a broad strategy for a stimulus package.
Sunak has just finished his budget – after one hour and three minutes.Sunak has just finished his budget – after one hour and three minutes.
Sterling has ended up after the budget... almost exactly where it was before. It’s a gain of 0.25% for the day to $1.2940.Sterling has ended up after the budget... almost exactly where it was before. It’s a gain of 0.25% for the day to $1.2940.
UK government bond yields have actually fallen – not the response that you would usually expect after a relatively big fiscal expansion. The 10-year gilt is at 0.26%, having hovered around 0.3% as Sunak started speaking. (Bond yields fall as prices rise when investors buy more debt.)UK government bond yields have actually fallen – not the response that you would usually expect after a relatively big fiscal expansion. The 10-year gilt is at 0.26%, having hovered around 0.3% as Sunak started speaking. (Bond yields fall as prices rise when investors buy more debt.)
There is still a lot more to come on the political response which you can follow here:There is still a lot more to come on the political response which you can follow here:
The S&P 500 is down by 2.6% at the opening bell to hit 2,808 points, while the Dow Jones industrial average has fallen by 2.7% to 24,337 points – a 671 point fall. The Nasdaq lost 2.4%.The S&P 500 is down by 2.6% at the opening bell to hit 2,808 points, while the Dow Jones industrial average has fallen by 2.7% to 24,337 points – a 671 point fall. The Nasdaq lost 2.4%.
Lufthansa has just announced thousands of flight cancellations in response to the coronavirus, covering the period from 29 March to 24 April.Lufthansa has just announced thousands of flight cancellations in response to the coronavirus, covering the period from 29 March to 24 April.
The German flag-carrier had already said it would cancel as many as half its flights.The German flag-carrier had already said it would cancel as many as half its flights.
Sterling is now flat for the day against the dollar – possibly a reaction to a budget that looks pretty expansionary on the fiscal front.Sterling is now flat for the day against the dollar – possibly a reaction to a budget that looks pretty expansionary on the fiscal front.
A pound now buys $1.292 against the US dollar, a gain of 0.07%.A pound now buys $1.292 against the US dollar, a gain of 0.07%.