TOKYO (Reuters) – Asian shares and U.S. stock futures tumbled on Friday as interruptions to business from the coronavirus aggravated, stiring worries of an extended worldwide economic downturn.
FILE PHOTO: Guys are reflected on an electronic board showing the Nikkei stock index outside a brokerage in Tokyo, Japan, March 25,2019 REUTERS/Kim Kyung-hoon
MSCI’s broadest index of Asia-Pacific shares outside Japan.MIAPJ0000 PUS fell 2.1%, while Japan’s Nikkei stock index N225 sank 2.94%. Australian shares were down 2.44%.
Europe looked set to follow Asia lower, with Euro Stoxx 50 futures STXEc1 shedding 2.44%, Germany’s DAX futures FDXc1 down 2.33%, and FTSE futures FFIc1 off 1.94%.
U.S. stock futures ESc1 erased early gains to trade down 1.21%.
Yields on 10- year U.S. Treasuries was up to a record low and Treasury futures jumped as financiers increased bets that the Federal Reserve will follow this week’s surprise 50 basis point rate cut with further alleviating to prevent business bond spreads from broadening even more.
Rapidly falling yields hammered the dollar, which was up to a six-month low versus the yen and near a two-year trough versus the Swiss franc.
Oil costs likewise fell due to worries that non-OPEC oil producers might not consent to output cuts although worldwide energy need is weakening.
The spread of the coronavirus has sped up so much in Europe, Britain and North America that inves