Stocks plummeted overnight as the coronavirus spreads to more countries and the death toll rises.

The EURUSD was one of very few positives in a messy night for markets, climbing above $1.10 during yesterday’s session. The pair opened at $1.08806 and dipped to a low of $1.08767 in the opening hour of the day. It was all up from there as the euro marched up to a late high of $1.10061. It is not far off those highs, currently trading at $1.09968. The GBPUSD weakened slightly overnight after beginning the day at $1.28949. The pair edged up in early trading, hitting highs of $1.29461 mid-session. Those highs were not maintained for long as the pound hit lows of $1.28591 a couple of hours later. It spent the rest of the session trying to recover some of those earlier losses and is now trading at $1.28908.

The pummelling of the Dow remains relentless as it fell another 1,200 points overnight, bringing total losses to over 4,000 points from its highs it reached only a couple of weeks ago. The index started Thursday’s session at 26,834.21 and nudged up to a high of 27,001.59 in the first hour of trade. The decline began shortly afterwards, where the losses were steady and gradual throughout most of the day. Late-trading saw a sharp sell-off, where the Dow sunk to lows 25,505.27, or more than 4%. It has come off those lows and is now trading at an uncertain 25,672.00. The Dax predictably followed suit, selling-off sharply at the back end of the session. The German index opened at 12,519.80 and ticked up to a high of 12,597.53 shortly after the open. Like the Dow, the losses for the Dax started early and accelerated late, with Europe’s flagship stock closing at lows of 12,143.13. It has opened Friday lower and is now trading at 12,110.15.

The day ahead sees the release of a stack of data, but it seems markets are not even remotely interested as the coronavirus continues to spread. All eyes will be on the US markets later tonight when the US trading day starts. Will the rout of US stocks continue?

Data published today includes:

Japan – Housing Starts

Canada – GDP, RMPI, IPPI

China – Manufacturing & Non-Manufacturing PMIs

UK – Nationwide HPI, MPC Members Andy Haldane and Jon Cunliffe speak

Europe – German Prelim CPI, Unemployment Change and Import Prices, French Prelim CPI, GDP and Consumer Spending, Italian Prelim CPI, Swiss Retail Sales and KOF Economic Barometer, German Buba President Jens Weidmann speaks

US – Core PCE Price Index, Personal Spending, Chicago PMI, Goods Trade Balance, Personal Income, Prelim Wholesale Inventories, Revised UoM Consumer Sentiment & Inflation Expectations

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