SYDNEY/HONG KONG (Reuters) – Asian shares tumbled on Tuesday on growing worries about a second wave of coronavirus infections after the Chinese city where the pandemic originated reported its first new cases since its lockdown was lifted.
FILE PHOTO: People wearing protective face masks, following an outbreak of the coronavirus, are reflected on a screen showing Nikkei index, outside a brokerage in Tokyo, Japan February 28, 2020. REUTERS/Athit Perawongmetha
European markets were set to open lower with EUROSTOXX 50 futures STXEc1 off 0.52% and FTSE futures FFIc1 down 0.22%. E-Mini futures ESc1 for the S&P 500 slipped 0.68%.
The central Chinese city of Wuhan reported five new cases on Monday, casting doubts over efforts to lower coronavirus-related restrictions across the country as businesses restart and individuals went back to work.
“Markets have been torn between optimism on the tentative re-opening of some economies and caution on the still grim economic data,” said OCBC Investment Research in a Tuesday markets note.
“Any recovery in equity markets is likely to be fragile for now, as markets will watch for cracks in the financial system and elsewhere in the economy as virus infections climb.”
MSCI’s broadest index of Asia Pacific shares outside of Japan .MIAPJ0000PUS stumbled more than 1%, snapping two straight sessions of gains.
Hong Kong’s Hang Seng index was among the hardest hit .HSI, down 1.78% followe