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China virus claims second life off mainland, Macau casinos told to close

Published 02/04/2020, 06:19 PM
Updated 02/04/2020, 06:19 PM
© Reuters. People wear masks in front of Casino Lisboa, before its temporary closing, following the coronavirus outbreak in Macau

By Farah Master and Ryan Woo

HONG KONG/BEIJING (Reuters) - The coronavirus outbreak claimed its first life in Hong Kong on Tuesday, compounding the international financial centre's problems after anti-government protests, and Macau, the world's biggest gambling playground, urged casinos to shut their doors.

The victim in Hong Kong was a 39-year-old man with an underlying illness who had visited China's Wuhan city, the epicentre of the outbreak now under virtual quarantine.

It was the second death from the new coronavirus outside mainland China. A man died in the Philippines last week after visiting Wuhan, the first virus-related overseas fatality.

State TV late on Tuesday reported 3,156 new cases in China's central Hubei province, as well as 65 new deaths, bringing the total to 479 deaths in Hubei. Wuhan is the capital of Hubei.

Thousands of medical workers in Hong Kong, a semi-autonomous region of China, held a second day of strikes to press for complete closure of borders with the mainland after three checkpoints were left open.

"We're not threatening the government, we just want to prevent the outbreak," said a nurse taking part in the strike.

On the financial front, global and Chinese markets rose, with both Europe and metals enjoying their best sessions of the year after Shanghai's main market lost nearly $400 billion the previous day.

But in the latest corporate hit, Hyundai Motor (KS:005380) said it would gradually suspend production at South Korean factories because of supply chain disruptions.

Prior to the latest figures from Hubei, total infections in mainland China had climbed to 20,438. Nearly 200 cases have been reported across roughly two dozen countries, Hong Kong and Macau.

Macau, also a special administrative region of China lying across the Pearl River estuary from Hong Kong, said it had asked all casino operators to suspend operations for two weeks to help prevent the coronavirus spreading.

Macau's chief executive, Ho Iat Seng, made the announcement as the former Portuguese colony, whose glittering casinos draw hundreds of thousands of gamblers from across the globe, reported 10 confirmed cases of the virus and imposed tight restrictions on movements in and out of the territory.

Thailand's tally of infections jumped to 25, the highest outside China, while Singapore's rose to 24.

The World Health Organization (WHO) has declared the flu-like virus a global emergency, and experts say much is still unknown, including its mortality rate and transmission routes.

FOREIGN FEARS

Such uncertainties have spurred strong measures by some countries, offending Beijing's communist government, which has called for calm, fact-based responses instead of scaremongering.

Australia sent hundreds of evacuees from Wuhan to an island in the Indian Ocean, while Japan confirmed about 10 cases of coronavirus among 3,700 passengers and crew aboard a cruise liner held in quarantine, TV Asahi said, citing the health ministry.

Hong Kong has confirmed 17 cases. The territory was badly hit by Severe Acute Respiratory Syndrome (SARS), a coronavirus that emerged from China in 2002, killed almost 800 people worldwide and cost the global economy an estimated $33 billion.

Chinese data suggests the new virus, while much more contagious, is significantly less lethal, although such numbers can evolve rapidly.

WHO director of global hazard preparedness Sylvie Briand said most who had died or suffered severe infections were people with underlying health conditions or the elderly.

"NOT A CATASTROPHE"

Raising the prospect of another dispute as trade frictions were easing, Beijing on Monday accused the United States of spreading panic after it announced plans to block nearly all recent foreign visitors to China.

A handful of other nations have done the same.

Britain told its citizens to leave China if they could, and Russia set up a quarantine centre in remote Siberia, where there have been two cases, for Russians evacuated from China.

With the world's second biggest economy facing increasing isolation and disruption, some economists predict world output will shrink by 0.2 to 0.3 percentage points.

White House economic adviser Larry Kudlow played down the potential impact on the United States, but said on Tuesday that China's coronavirus would delay a surge in U.S. exports to China expected from the Phase 1 trade deal that was to take effect later this month.

MSCI's main world index (MIWD00000PUS) rose 0.5%, led by the biggest leap in commodity-focused stocks in more than three months. "Investors are tentatively going back into risk," said MUFG strategist Lee Hardman.

Many airlines have stopped flights to parts of China.

A flight from Toronto to Jamaica was forced back when a Canadian man falsely announced to passengers that he had the coronavirus - and took a selfie. He was arrested.

For a graphic comparing coronavirus outbreaks, see https://tmsnrt.rs/2GK6YVK

© Reuters. People wear masks in front of Casino Lisboa, before its temporary closing, following the coronavirus outbreak in Macau

Latest comments

Will spike up to 27000 tomorrow base on this. That's market nowadays
WW2 racial profiling is back like it was practiced back then for not becoming collateral damage being too close to the Jewish. (Non-Jewish could have become rounded up by the SS by mistake). --- Yesterday, here in North America, I was about to enter the elevator with my HongKong neighbor couple when I observed his wife presenting with a sniffle and a white handkerchief. Not having my mask handy and them not wearing masks I made a quick executive decision to extricate myself back into my suite to look for my mask.
The US has -.8% earnings growth. You tell me if that justifies the levels of the market or add. Not even pricing in one drip the coronavirus and about 10 other headwinds
Shame on the Fed all around the world shame on institutions an analyst pumping this fake market shame on everybody. This is just going to make the correction even bigger. The longer it goes the bigger the correction. That is just pure fact 100% no arguing it
The markets are going to have the biggest correction anyone has seen. This market is so irrational and backwards it’s beyond overwhelming and ridiculous. It’s going to come out like a hurricane to sell off. There is no reason for the markets to be green. The longer this goes this irrational behavior going up, it will make last December look like nothing. What a joke. On top of Google having horrible numbers. We are all in the middle anytime now of at least at the very minimum 10% correction and possibly Waymore. This is absurdity the stock market. The fake-ist rally I’ve ever seen in my life brought on by quiet q.e. Fair value is around 2910 for the S&p
investing firms don't give a ***** they can just keep manipulating the market
This is bad. But why is the markets green?
It is possible that US may find or may have already found the cure but will not help China to obliterate china's economy.
If China goes down, US will go down with her, and so will everyone. That is how loud a China Roar is.
Just watch the market tank and I mean tank any day now. It’s thousands of miles past irrational exuberance and insanity
chína is welcome U S help. Hurry up US, what are you waiting for?
Do you have a stock market that is beyond irrational exuberance and has risen so fast and so high pull backs are completely normal. Millennials need to start learning that 10% corrections are normal. What is not normal is not to have a correction ever. Anyone who just keeps thinking the market is going straight up in the next couple days will be hurt very badly financially. You need to be a realistic bull not a perma bull
400 is not grim. Flu killed 10,000+ since Sept.
this virus has no med
so is flu
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