ASIAN SHARES RETREAT ON VIRUS RISK, US-CHINA SABER-RATTLING
Asian shares and US stock futures fell on Friday as record-breaking new coronavirus cases in several US states stoked concern about economic recovery, while investors looked forward to earnings season, Stanley White and John McCrank reported for Reuters on July 10, 2020.
MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.74%. Australian stocks declined by 0.31% as an extension of loan payment deferrals hit the banking sector. Japanese stocks were down by 0.58%.
Shares in China fell 0.72% from a five-year high, the first decline in more than a week, as state media discouraged retail investors from chasing the market higher and worries about Sino-US tensions re-emerged. E-mini futures for the S&P 500 erased early gains to trade down 0.41%. Euro Stoxx 50 futures were down 0.03%, German DAX futures were flat, while FTSE futures were down 0.03%, suggesting a lacklustre start to European trading.
The Antipodean currencies fell and the yen rose as traders shunned risk and sought safe havens. More than 60,500 new COVID-19 infections were reported across the United States on Thursday, the largest single-day tally of cases by any country since the virus emerged late last year in China. That heightened concerns that renewed lockdowns could hurt the economic recovery.