LONDON: World stocks took a hit on Friday as China moved to impose a new security law on Hong Kong after last year's pro-democracy unrest, further straining fast-deteriorating U.S.-China ties.
Hong Kong's Hang Seng index slid more than 5per cent to a seven-week low, MSCI's broadest index of Asia-Pacific shares outside Japan fell 2.7per cent. "Overall it’s fascinating to see that markets are shaking off the very bad news on the future U.S./China relationship much more now in the face of a global pandemic than it did last year when the tensions were fraught," said Deutsche Bank strategist Jim Reid.
Japan's central bank on Friday unveiled a lending programme to channel nearly US$280 billion to small businesses hit by the coronavirus. India slashed interest rates for a second time this year.
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