... [+]Craig Botham, an emerging markets economist for Schroders, pointed out on his Twitter feed today that China’s GDP growth is not coming from travel and transportation. Services, including financial services, and retail are where it’s at for China’s economy.
Investors, both local and foreign, are not abandoning China equity because of the ongoing public health emergency.... [+]Financial services firms are also up. China Life Insurance was up 0.76%. Keep in mind this was always considered China’s D-day as it was the first day of trading since the holiday break. The coronavirus worsened over that week-long time period.
Another dip tomorrow is expected due to the large number of stocks that hit their limit down today. Shanghai and Shenzhen exchanges cut off trading once a stock has fallen by 10%. This “circuit-breaker” is designed to protect companies from panic selling and automated trades as prices quickly hit stop limits programmed by investors, triggering even more selling.... [+]
The outbreak is concentrated in Hubei. The majority of cases in the U.S. are people who traveled to Wuhan. There is one case in Chicago where a person caught the virus from someone who was recently in Hubei, China.