Update (1140AM ET): The number of confirmed coronavirus cases in the US is starting to increase at a concerning pace, and moments ago, the CDC confirmed in a telebriefing that there are 11 cases in the US.
- U.S. CDC CONFIRMS 11 CONFIRMED CORONAVIRUS CASES IN UNITED STATES – TELEBRIEFING
More ominously, the CDC said that the new Coronavirus case is close contact of other California case, and was spread person-to-person.
And while traders were not happy with this latest confirmation that the disease is anything but contained, it is what the CDC aid said next that sent stocks and yields both sliding:
- CDC: PREPARING AS IF CORONAVIRUS WERE THE NEXT PANDEMIC
Judging by the market reaction, it appears that algos are not fans of that word.
Finally, the CDC also said at its briefing that it has added four more airports for screening of Coronavirus.
* * *
Late last night, we reported that the death toll from the coronavirus outbreak had surpassed 360 as more suspected cases popped up in New York. Though no deaths have been reported overnight, Chinese officials warned yesterday that many more cases and deaths would be confirmed on Sunday/Monday.
In the meantime, Chinese markets finally faced their inevitable reckoning. Despite the best efforts of the PBOC and the government, the Chinese market bloodbath was about as bad as expected.
But over in the US, investors ignored the latest news out of China and have seemingly bought into the WHO’s optimistic message and China’s accusations about an ‘alarmist’ Washington.
This is surprising, since anybody who has been paying close attention to the situation in China should know that this is far from the truth.
…click on the above link to read the rest of the article…