Stock market plummets amid coronavirus fears

In just a few days, coronavirus cases have risen rapidly across the world, despite the World Health Organization saying the spread has slowed in China, where the virus originated. The most rapid spread was seen in Italy, South Korea and Iran.
European and US stock markets have plunged as investors are attempting to sell-off global equities amid virus fears. Britain’s FTSE 100 was down 3.6% as it approached the end of Monday. Germany’s Dax was4% lower and France’s CAC 40 had also shed 4%.
In the US, the Dow Jones Industrial Average index plummeted 2.9% after the bell, shedding 830 points. Nasdaq tumbled 3.4%, while the S&P 500 dropped 2.8%. The pan-continental Stoxx Europe 600 index dropped 0.4%, having fallen more than 3% Monday.
“It is not as though the numbers have changed dramatically but what has changed is the geography, which adds a new level of concern”, an expert warned.
Analysts say investors are worried about the global impact of “falling international travel, reduced high-end luxury purchases, fewer trips to shops, entertainment and conference venues, less oil demand and the other signs of consumer worry”.
Investor Warren Buffet said the outbreak was “scary stuff” but he would not, however, be selling stocks: “I don’t think it should affect what you do in stocks”. He added investors should take a long-term view, and realise they will get “more for your money in stocks than bonds”.