This translation has been automatically generated and has not been verified for accuracy.A drop in the number of new coronavirus cases and the Federal Reserve chairman’s optimistic view of the economy lifted world stocks for a third day on Wednesday and sparked a 2% rally in oil prices, on hopes the epidemic’s effects would be contained.
The damage to Western economies in particular “will likely be modest and mostly temporary,” the bank said. In Asia, mainland Chinese and Hong Kong shares rose almost 1%. The offshore-traded yuan reached two-week highs . The Thai baht, Korean won and Taiwanese dollar, reliant on Chinese tourism and trade, gained 0.3% to 0.5% . The yen slipped 0.3% to a three-week low against the dollar.
Yields had risen on Tuesday after U.S. Federal Reserve Chair Jerome Powell said the U.S. economy was “resilient.” Powell also said he was monitoring the coronavirus, because it could lead to disruptions that affect the global economy.