More than $1.1 trillion was wiped off the value of developing-nation stocks and bonds last week as the economic impact of the coronavirus worsened. Currencies and equities rounded off February with back-to-back monthly declines, while bond spreads widened by the most since August. On Monday (March 2), emerging stocks and currencies reversed some of the losses after the Bank of Japan and Italy’s government announced stimulus measures. The economy was probably only operating at 60-70% of normal capacity at the end of last month, according to Bloomberg Economics estimates. Goldman Sachs Group Inc. said the world economy will probably contract on a quarterly basis in the first two quarters of this year.

Source: The Star March 02, 2020 10:41 UTC