25 Feb 2020

NZX recovers slightly after morning losses over virus fears

6:05 pm on 25 February 2020

The New Zealand stock market has closed about 1 percent lower, amid investor concerns about the impact of the coronavirus on the world economy.

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(file photo) Photo: Supplied

The benchmark top 50 Index opened more than 2 percent lower this morning, and at one stage fell to more than 3 percent down, but clawed back much of its losses to close 138 points, about 1 percent down compared to yesterday.

Most stocks fell but companies with heaviest exposure to travel and tourism and those reliant on direct trade and business with China, were the biggest losers.

US and European markets fell more than 3 percent as a growing toll from Covid-19 was reported in Italy, South Korea, and Iran.

Analysts said financial markets would remain volatile in the short term until there is some clarity about the virus.

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