The coronavirus cases spreading outside China have turned out to be a global concern as all stock markets worldwide were lower. European stocks fell further into correction territory on Friday while Asian stocks ended lower, worsening fears of a global pandemic.
The California Governor Gavin Newsom said 33 people have tested positive for the coronavirus and the state is currently monitoring at least 8,400 others. The Centers for Disease Control and Prevention (CDC) on Tuesday labeled the virus as a “serious public health threat” as it is likely to spread to the US.
The public health officials warn Americans about potential disruption if the virus starts spreading and suggests asking schools and workplaces about contingency plans. Globally, there were more than 81,000 confirmed cases of coronavirus with South Korea remaining the worst affected region outside China.
Meanwhile, the World Travel and Tourism Council estimates that the deadly coronavirus epidemic will cost the world tourism at least $22 billion. Apart from this, the list of companies warning about the potential impact of the coronavirus is rising. Microsoft (NASDAQ: MSFT) is the latest to join as the software giant does not expect to meet its revenue forecast for a key segment that includes Windows.
The virus has not even spared the commodities and crude oil markets as both were trading in the red. The last economic impacts of coronavirus will likely be from weaker energy demand and disruption to key mineral resource supply chains. Energy, commercial real estate, chemical, and telecom stocks also saw significant weakness.