Stock and oil prices fall as new Covid variants spy on the market

Equity and oil prices fell as global investor concerns rose to a new variant of Covid-19, urging the UK to impose strict travel bans on countries in southern Africa.

The stock plunge was led by Hong Kong, with two variants confirmed late Thursday. The city’s benchmark, the Hansen Index, is up to 2.5% in fear that new stocks could slow the recovery of the global economy and further isolate the financial hub of Asia, one of the world’s toughest quarantine systems. It has fallen.

“If you look at today’s screen, there’s almost no green, it’s all red,” said Andy Maynard, a trader at Hong Kong-based investment bank China Renaissance. “It’s all in the tail of this Covid strain.”

Elsewhere in Asia, Tokyo’s benchmark Tokyo Stock Price Index fell 2% on Friday. UK banned direct flights From 6 countries including South Africa until the quarantine hotel goes live.

The futures market fell 1% on U.S. stocks when the market opened on Wall Street later that day, but both the FTSE 100 in London and the Stoxx 50 index in Europe were expected to fall by about 2%. ..

Travel stocks were hit hardest by Japan Airlines falling more than 6% and Hong Kong’s flag carrier Cathay Pacific reducing concerns about tightening international travel restrictions by nearly 4%.

The so-called B.1.1.529 Sars-Cov-2 mutant, first identified in Botswana, is believed to be behind the surge in Covid cases in southern Africa over the past week and of its apparent ability. Is alerting the world’s health authorities. Avoids vaccines and spreads faster than delta variants.

Israel has also banned travelers from South Africa, and the World Health Organization will hold an emergency meeting on Friday to discuss new variants described as the most feared strains researchers have ever encountered.

In terms of currency, the new travel restrictions have left the South African rand down 1.7% against the dollar to about R16, facing the possibility of ruining this year’s tourist season, making the currency the weakest level in over a year. rice field.

Other emerging market currencies, including the Mexican peso and Turkish lira, fell about 1.4%.

In the commodity market, concerns over global trade turmoil have hit crude oil prices, with international benchmark Brent crude oil down 2.5% to $ 80.14 a barrel. The US marker West Texas Intermediate fell 2.2% to $ 75.92.

Stock and oil prices fall as new Covid variants spy on the market

Source link Stock and oil prices fall as new Covid variants spy on the market

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