Dow Jones poised for a negative start amid increased worries about the coronavirus spread in China and other countries in the region. The coronavirus could have a negative impact on retail sales, transportation and tourism worldwide. The Dow Jones futures are 0.16% lower with high volumes. The S&P 500 futures are 0.29% lower at 3,315, while the Nasdaq futures are 0.38% lower at 9,138.
European indices are trading lower despite strong positive economic data from Germany and the UK. FTSE 100 is 0.83% lower at 7,587 despite the stronger employment data. The focus will be on the Bank Of England policy meeting later in January. The DAX Index is 0.15% lower at 13,529 as the ZEW Survey for Economic Sentiment came in at 26.7 topping expectations of 15 in January. The ZEW Survey for the Current Situation came in at -9.5, also above expectations of -13.5 in January. The CAC 40 is 0.72% lower at 6,034 while the FTSE MIB is 1.07% lower at 23,750.
Asian indices finished sharply lower on coronavirus and the Hong Kong downgrade from Moody’s. The Nikkei 225 ended 0.91% lower at 23,864 as the Bank of Japan kept interest rates unchanged. The Hang Seng closed down 2.81% at 27,985, the Shanghai Composite finished 1.41% lower at 3,052. In Singapore the FTSE Straits Times Index ended 1.01% lower at 3,247. In Australia the ASX 200 retreat from record highs 7066.
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Cryptocurrencies in Consolidation Phase
Cryptocurrencies started the session lower but as of writing most of the cryptos managed to rebound. Bitcoin is 0.01% lower at 8630 while the ETHUSD is 0.65% higher at 167.73 Ripple is 1.39% higher at 0.2356. LTCUSD is 0.81% higher at 57.56.
In commodities markets, the crude oil price is 1.31% lower at 57.87 while the brent is 1.49% lower at 64.23. Gold price is 0.39% lower at 1,554.
GBP Higher on Strong Employment Data
In forex markets the British pound is the stronger midday getting a boost from better employment data. EURUSD is 0.11% higher at 1.1107 as the German ZEW showed an improvement in current conditions and outlook.
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