In the United States, the world’s main stock index fell 2.3 percent on Friday.
Coronavirus the new transformation frightened investors around the world on Friday.
The key question is how far restrictions states may have to impose in order to curb the spread of the virus variant.
In the United States, the world’s most important stock index, the S&P 500, fell 2.3 percent. In Europe, the Stoxx Europe 600 stock index fell 3.7 percent and the general index of the Helsinki Stock Exchange fell 3.5 percent.
The stock market fear coefficient, or the Vix index, also rose sharply on Friday, indicating an increase in uncertainty.
“Trading was supposed to be internationally calm on Friday in both bonds and equities, but the day has turned to a stagnation as the market has been in high swing due to the virus transformation from South Africa,” wrote NatAlliance’s director of international fixed income markets. Andrew Brenner newspaper for its customers Financial Times by.
Trammels depend to a large extent on how easily the new virus variant is contagious and how well existing vaccines work against it. There were no reliable answers to these questions on Friday.
If countries have to resort to extensive restrictions, it will slow down the economic recovery. If existing vaccines do not work against the new virus, the question arises as to when a new vaccine will be developed.
Unrest in the stock market increased even before Friday, as the pandemic has worsened again in many European countries.
On Friday the most shares in accommodation and catering companies, airlines and cruise shipowners fell in price as their business is hit hardest by new restrictions.
Luftansa’s share price fell 12 percent, several airlines like British Airways ’International Airlines Group said 15 percent and Royal Caribbean Cruises said 13 percent.
Shares of pharmaceutical companies manufacturing coronavirus vaccines rose. German Biontech shares rose 17 percent and U.S. Moderna rose more than 20 percent.
So far, there is no certainty as to where the new virus variant will come from, but in addition to South Africa, at least Botswana, Belgium, Hong Kong and Israel have been infected.
The European Commission on Friday announced its recommendation to suspend air traffic from the southern African region due to a worrying virus variant. In Europe, at least Britain, France and Italy imposed restrictions on air traffic.
Fear The economic impact of the new virus variant was also passed on to the raw materials market on Friday. Crude oil in the North Sea reference grade fell 11 percent to $ 73.02 a barrel in the evening.
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