Most Asian shares fell on Tuesday a day after Wall Street’s historic market rout, with fleeting initial gains evaporating as the coronavirus remained a major risk to economic growth.
“It’s no surprise that we’re seeing a bounce after the big falls on Monday,” said Michael McCarthy, chief market strategist at CMC Markets in Sydney.Gold, which is normally bought as a safe-haven, extended declines on Tuesday as some investors chose to sell whatever they could to keep their money in cash.
Investors, however, are worried that central banks may have spent all their ammunition and that more draconian restrictions on personal movement are necessary to contain the global coronavirus outbreak. Traders are looking ahead to data due later on Tuesday, which is forecast to show German investor sentiment tumbled in March.