OPEC+ Considering Further 500,000 bpd.. to meet Tuesday

Singapore — Benchmark Dubai crude future spreads continued their downward spiral on the first trading day for February, with OPEC’s call for an urgent meeting of its technical committee on Tuesday and Wednesday doing little to assuage fears of a slowdown in oil demand on the back of the spread of the coronavirus. Crude oil prices are being underpinned slightly by a more positive tone in world markets that have been gripped by worries over the economic fallout from the spread of the coronavirus.  The markets opened lower as traders assessed the spread of China’s coronavirus and its potential impact on global economic growth and demand for crude. On Monday, Iranian Oil Minister Bijan Zanganeh said the spread of the coronavirus had hit oil demand and called for an effort to stabilize oil prices. “The oil market is under pressure and (Brent) prices have dropped to under $60 a barrel and efforts must be made to balance it,” Zanganeh said. He said Iran would agree to holding an earlier OPEC meeting if the rest of the group’s members agreed to oil production cuts. OPEC and its allies, a group known as OPEC+, are considering meeting in February instead of March. OPEC and its allies are considering cutting their oil output by a further 500,000 barrels per day (bpd) due to the impact on oil demand from the coronavirus, two OPEC sources and a third industry source familiar with discussions said, and Reuters reported. OPEC+ is considering holding a ministerial meeting on February 14-15, one of the OPEC sources said, earlier than a current schedule for a meeting in March.

Additionally, an OPEC and non-OPEC panel called the Joint Technical Committee (JTC) has scheduled a meeting for February 4-5 in Vienna to assess the impact of the virus on demand, other OPEC+ sources said.

The technical panel is likely to make a recommendation on any further action to support the market, the sources said. The partners are also discussing the duration of the cuts and separate OPEC sources said last week the group wanted to prolong the curbs until at least June. Prices are being underpinned slightly by a more positive tone in world markets that have been gripped by worries over the economic fallout from the spread of the coronavirus. Talk of additional production cuts or an extension of the current cuts has helped slow down the selling. Any positive news from OPEC+ is likely to trigger a short-covering rally, but with the virus spreading and uncertainty over the impact on China’s economy rising, any price rise is likely to be short-lived. OPEC+ will hold a technical meeting on Tuesday and Wednesday to discuss the impact of the deadly coronavirus on oil demand, OPEC sources told S&P Global Platts on Sunday, as oil prices fall due to the outbreak. No specific production cuts have been discussed, just talks over whether to move up the ministerial meeting, one source said.

Some members are “already panicking,” an OPEC source said.

The outbreak is expected to blunt global oil demand by at least 900,000 b/d in February and 650,000 b/d in March, according to S&P Global Platts Analytics. In a worst case scenario involving travel curtailments, demand could drop by up 2.6 million b/d in February and 2 million b/d in March. Flat prices for oil — including those for benchmark Dubai cash and futures — have taken a beating in January due to fears of the virus triggering an economic slowdown in China. The second-month Dubai futures flat price, which was assessed at $63.77/b on January 02, closed the month 11% down at $56.54/b on January 31. Flight cancelations to China, and restrictions on the travel of Chinese citizens to other countries are some of the measures that may impact the Asian behemoth’s economy. Trade-related voyages via air, land and marine routes are also expected to be affected. Several Arab countries are starting to halt their flights to China in an attempt to curb the spread of the virus, with Saudi Arabian Airlines and Qatar Airways issuing notices effective February 2 and 3, respectively. The meeting of the Joint Technical Committee of the 23-member OPEC/non OPEC coalition known as OPEC+ in Vienna will determine whether the full ministerial meeting scheduled for March 5-6 should be moved forward, three OPEC sources said. OPEC+ members are in the midst of cutting 1.7 million b/d, up from 1.2 million last year, as part of a deal reached in December. The new deal is supposed to last until the end of March.

OPEC may meet early as coronavirus impacts oil prices

LONDON (Bloomberg) – OPEC members are considering holding an emergency meeting next month, as oil prices sink on concern the coronavirus outbreak will hit demand. Algerian Energy Minister Mohamed Arkab said the producer group’s meeting scheduled for March is likely to be moved to February, the Algerie Presse Service reported. A decision may be taken “in the coming days,” he said. He currently holds the rotating post of OPEC President, giving him the authority to convene emergency meetings in consultation with the Secretary-General and other members. One delegate from an OPEC member said privately it could happen as soon as next week, and another floated mid-February as a date. Still, several delegates said they were unaware of discussions to bring the March 5-6 meeting forward. There’s good reason to be skeptical about the prospective change of dates. If the group convenes an emergency meeting without announcing new measures, the disappointment among traders could push prices even lower. It already unveiled deeper production cuts just over a month ago, and as these are put into effect, Saudi Arabia — which has borne the greatest burden in reducing supply – has slashed output to the lowest since 2014. Any meeting would probably include non-members such as Russia, as the latest production targets have been set in concert with those allies. One delegate said the availability of Russian Energy Minister Alexander Novak would be a factor in deciding whether an early meeting could be called. Novak’s schedule has been an obstacle to meetings in the past, and he is due to participate in a Russian Investment Forum from Feb. 12 to 14 in the coastal resort of Sochi. The March 5-6 meeting is for OPEC+, and they’re due to discuss the future of oil-production cuts that expire at the end of March. The outbreak of the pneumonia-like corona virus has left 7,800 people infected and 170 dead since the first case was reported on Dec. 30 in Wuhan, the capital of China’s Hubei province. As airlines across the globe suspend flights to China, oil prices have slumped, adding to the pressure on OPEC to extend or deepen the group’s oil-production cuts. Brent crude has dropped more than 10% this month even after the U.S. killed a key Iranian general and Libya’s oil production was cut to near zero following a blockade of the nation’s ports that virtually halted exports. Saudi Arabia has said it’s “closely monitoring” the effect of the virus on the oil market. Nick Note: Buy the shit out of this drop. It won’t last long. They are in Algo LA LA land. You need hundreds of millions sick and dying to justify prices this low…… It ain’t gonna happen.  Corona viruses have been around for decades. they are famous for flaring up with low kill rates and all of a sudden disappearing.

Trump: We can’t let people with coronavirus come to US

United States President Donald Trump said on Sunday that the US “pretty much shut down” all travel from China to prevent more cases of the coronavirus coming to the country. “We’ve offered China help. But we can’t have thousands of people coming in who may have this problem, the coronavirus,” Trump stated in an interview with Fox ahead of the Super Bowl. On Friday, US Health Secretary Alex Azar declared a national health emergency over the deadly virus which originated in China with cases also reported in other countries, including the US. Azar also stressed that the US will block all foreign nationals who have been to China in the past 14 days from entering the US.

Coronavirus: The hospital built in a matter of days

The Chinese city of Wuhan is building a hospital in just a few days, to treat patients suspected of contracting the coronavirus.

The Chinese city of Wuhan is structure a hospital in simply a couple of days, to deal with people thought of acquiring the coronavirus.

A view of cranes and diggers building Huoshenshan Hospital

The 25,000- square-metre (30,000 sq yd) Huoshenshan Hospital, one of 2 brand-new medical facilities being built, is arranged to open up on Monday.

On 24 January, miners were easily removing the ground where the hospital will certainly rest.

A view of cranes and diggers building Huoshenshan Hospital

China’s health and wellness authorities claim 304 individuals have actually passed away from the coronavirus, with greater than 14,000 instances in the nation and also past. There have actually had to do with 100 instances in an additional 22 nations, consisting of 2 individuals in the UK.

A view of cranes and diggers building Huoshenshan Hospital

The number of instances worldwide has actually gone beyond that of the Sars epidemic, which infected greater than 2 loads nations in 2003. There were around 8,100 instances of Sars – serious intense breathing disorder – reported throughout that episode.

An aerial view of cranes and diggers building Huoshenshan Hospital

The coronavirus episode started in Wuhan, house to around 11 million individuals. According to state media, the brand-new Huoshenshan Hospital will certainly consist of regarding 1,000 beds.

A construction worker is pictured amidst heavy machinery on the site of Huoshenshan hospital, under construction

China’s main CCTV broadcaster has actually been holding livestreams so individuals can see the medical facilities being built in real-time – and also they have actually confirmed a not likely hit. The Global Times paper claims greater than 40 million individuals have actually been viewing the livestreams in China.

U.S. Confirms Its Eighth Case of Coronavirus; Pentagon to Provide Quarantine Housing

(Reuters) – U.S. health officials on Saturday confirmed an eighth case of the fast-spreading new coronavirus in the United States and the Pentagon said it would provide housing for people arriving from overseas who might need to be quarantined. The latest U.S. patient, who is in Massachusetts, recently returned from Hubei province in central China, the epicenter of the outbreak, a spokeswoman for the U.S. Centers for Disease Control and Prevention (CDC) said in an emailed statement. The person was not identified and no other details were provided. The flu-like coronavirus, which is believed to have originated in a market that traded illegally in wildlife in Hubei’s provincial capital Wuhan, has so far resulted in 304 deaths in China, state broadcaster CCTV said early on Sunday in China. Confirmed cases of the virus have been reported in 27 other nations, according to the CDC. All but one of the patients in the United States was believed to have contracted the disease while they were traveling in the Wuhan area. U.S. officials this week reported the first human-to-human transmission of the disease in the United States in Illinois.

Concerns about the virus spurred the Trump administration to declare a public health emergency and bar entry to the United States for foreign nationals who have recently visited China.

In addition, U.S. citizens who have traveled within the past two weeks to Hubei will be subject to a mandatory quarantine of 14 days, believed to be the incubation period of the virus, officials said. Americans who visited other parts of mainland China will undergo special health screening upon their return, followed by up to 14 days of “monitored self-quarantine,” under the temporary restrictions. In a statement on Saturday, the Pentagon said Defense Secretary Mark Esper approved a request for assistance from the Department of Health and Human Services for housing support for 1,000 people who may be subject to quarantine on arrival from overseas.Health officials had asked the Defense Department to provide several facilities capable of housing at least 250 people in individual rooms through Feb. 29. The Pentagon said four military installations have been selected: two in California, one in Colorado, and one in Texas. It said Defense Department personnel would only provide housing support and HHS would be responsible for all care and transportation. “DOD personnel will not be directly in contact with the evacuees and evacuees will not have access to any base location other than their assigned housing,” the Pentagon said. The first quarantines of U.S. citizens potentially exposed to coronavirus in China began hours before the White House announcement on Friday. Nearly 200 Americans evacuated earlier this week from Wuhan and voluntarily confined to a California military air base for 72 hours of health screenings were placed under a mandatory 14-day quarantine on Friday. By Saturday afternoon, none of those quarantined showed any symptoms of having the virus, said Jose Arballo, a spokesman for the public health department in Riverside County, where the air base is located. He said test results were still pending. The order to keep the Americans on the base marked the CDC’s first mandatory quarantine for decades. “Since this hasn’t been done in 51 years there’s quite the scramble to work through all the procedures,” a Department of Homeland Security (DHS) official said, adding that the last mandatory quarantine was ordered to fight smallpox. The official, who requested anonymity because they are not authorized to speak publicly about the matter, said DHS personnel would take over running medical screenings at airports this weekend to free up their CDC counterparts for other tasks. A DHS spokeswoman denied the department was scrambling and said it has been working on these plans since last summer, when it began contracting medical professionals and readying quarantine and health screening plans in case it had to ramp up for the Ebola outbreak. Nearly 12,000 people have been infected globally by the virus, according to the WHO, with all but just over 130 of those cases occurring in China.

First Wuhan coronavirus death confirmed outside mainland China

Alan Dershowitz quits Donald Trump’s impeachment trial

After making a idiot of himself by saying the president CANNOT be removed for a quid pro quo to aid his re-election then claims the defense ‘begged him to stay’

  • Most famous member of Trump’s defense team was absent from the Senate floor Thursday – then turned up on TV from Miami
  • Dershowitz, who also defended Jeffrey Epstein, said he had a family commitment which he could not change and team had begged him to stay
  • He is at war with critics after telling the impeachment trial that a president could not be impeached for a quid pro quo to aid his re-election 
  • Harvard professor said that because the president believes his re-election is in the public interest, he cannot be impeached 
  • Other academics and lawyers criticized the theory saying it gave presidents’ extraordinary powers – and would have cleared Richard Nixon 

Donald Trump’s most famous and flamboyant lawyer vanished from his trial Thursday – turning up in Miami to fight back against a tidal wave of criticism for his extraordinary defense that anything a president does to get re-elected is unimpeachable. The Harvard professor surfaced in Florida as other academics and attorneys reacted with astonishment to his position, which he then said he had never actually said. On CNN he told Wolf Blitzer that he had a commitment in the state Thursday and it was difficult to change his flight because the Super Bowl is on this weekend in Miami.  He also complained about how CNN had reported what he said, prompting Blitzer to say: ‘We were playing what you said.’  But his main thrust was a rearguard action against a legal theory which Trump’s own defense spent time walking away from Thursday.

Not in the Senate: Alan Dershowitz was notably absent from the Trump defense team - and then surfaced on CNN from Miami to defend his theory that asking for a quid pro quo to get re-elected is unimpeachable because he believes it is in the public interest

No Dershowwitz: The president's defense table - which can only be seen on cameras controlled by the Senate - was missing its most famous member, who was present and answering questions on Wednesday

Dershowitz delivered a stunning defense of President Donald Trump in the Senate that would essentially make it impossible to impeach a president for anything he might do to boost his reelection prospects. It was a contention quickly and forcefully denounced by a range of legal scholars and historians who said there were clear limits on presidential authority. Dershowitz said on Thursday that his remarks have been misinterpreted, but Democrats seized on them as they pressed their case for Trump’s removal from office for tying the release of military aid to Ukraine to an investigation of his political rivals. His starting point was the benign assertion that every politician believes his election is in the public interest, but he pivoted abruptly to Ukraine, and began to frame an argument that would rewrite most conventional understanding of the scope of presidential power. As novel as it was, his premise in many ways tracked the views of Trump who has said he was not bound by some constitutional constraints that other presidents have readily accepted. And several Republican senators seemed to find merit in what Dershowitz said. The person in the chamber who in other settings might have a lot to say about the matter, Chief Justice John Roberts, was instead rendered essentially a spectator as he watched the arguments play out.

‘If a president does something which he believes will help him get elected, in the public interest, that cannot be the kind of quid pro quo that results in impeachment,’ Dershowitz said Wednesday as senators put questions to Democratic House lawmakers who are prosecuting the case against Trump in the Senate and to Trump’s defense team.

Alan Dershowitz was in full flight Wednesday, using his time on the Senate floor to outline a sweeping view of presidential power Robert Dallek, a presidential historian who has written books about five presidents, from Franklin D. Roosevelt to Ronald Reagan, called Dershowitz’s argument unique.  ‘Frankly I’ve never seen that before, that a president´s power extends to wherever his politics are,’ Dallek said. ‘There is a pretty well defined idea of what a president can do and can´t do and when he seems to overstep his bounds, he runs into great difficulty with the Congress or the judiciary.’

Barbara Perry, director of presidential studies at the University of Virginia’s Miller Center, said Dershowitz had it backwards in suggesting that the public interest is whatever serves the president’s reelection campaign. ‘What we hope is that they at least think in terms of the nation’s interests and then align their personal interest with the public interest, the country´s interest,’ Perry said. What’s more, she said, Dershowitz’s formulation could serve as a dangerous precedent for future presidents who might think they can do anything they want in the political arena, except for violation of a criminal statute. ‘Then there´s nothing to be done about a president who can make the case that I did it in my self-interest,’ she said. She reached back to Richard Nixon’s presidency and the ‘dirty tricks’ carried out to undermine the campaigns of Democratic rivals in 1972. ‘Nixon was trying to get reelected. Every single thing that happened in Watergate, all of those things would not be impeachable?’ Perry said. Both Perry and Dallek said the closest similar invocation of presidential power was Nixon’s statement, made after he resigned the presidency: ‘Well, when the president does it … that means that it is not illegal,’ Nixon told interviewer David Frost in 1977. Rep. Adam Schiff, D-Calif., alluded to Nixon in Thursday’s Senate session. ‘We are right back to where we were a half century ago, and I would argue that we may be in a worse place, because this time, this time, that argument may succeed,’ Schiff said. Nick Note: It is amazing and sad to see how Trump has the ability to corrupt people and destroy their lives and reputations making assholes our of themselves for the president… How sad!

The Verdict Is In: Farm Bankruptcies Up in 2019

Holy Shit i hope john deer did not finance all those tractors Trump told the farmers to buy. And as far as buying more farm land it does not look like their will anyone who can afford to farm it

 Chapter 12 family farm bankruptcies in 2019 increased by nearly 20% from the previous year, according to recently released data from the U.S. Courts. Compared with figures from over the last decade, the 20% increase trails only 2010, the year following the Great Recession, when Chapter 12 bankruptcies rose 33%. During the 2019 calendar year there were 595 Chapter 12 family farm bankruptcies, up nearly 100 filings from 2018 and the highest level since 2011’s 637 Chapter 12 filings. Given that there are slightly more than 2 million farms in the U.S., the 2019 bankruptcy data reveals a bankruptcy rate of approximately 2.95 bankruptcies per 10,000 farms, slightly below the rate of 2.99 filings per 10,000 farms in 2011. During the fourth quarter of 2019, there were 147 Chapter 12 bankruptcy filings, which was up 14% from the prior year but down 8% from the third quarter of 2019. On a year-over-year basis, Chapter 12 filings have increased for five consecutive quarters. The continued increase in Chapter 12 filings was not unanticipated given the multi-year downturn in the farm economy, record farm debt, headwinds on the trade front and recent changes to the bankruptcy rules in 2019’s Family Farmer Relief Act, which raised the debt ceiling to $10 million

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During the 2019 calendar year, Chapter 12 farm bankruptcies were the highest in Wisconsin at 57 filings. Wisconsin farm bankruptcies were up 8 filings from the prior year and were also at the highest level in a decade. Following Wisconsin, Georgia had 41 Chapter 12 filings in 2019, which was up 15 filings from 2018. Chapter 12 filings were at, tied with or above decade-high levels in 10 states: Iowa, Illinois, Kansas, Minnesota, Nebraska, New Hampshire, Ohio, South Carolina, South Dakota and Wisconsin, Figure 2.

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Chapter 12 farm bankruptcies rose in many states across the Midwest, West and Southeast. Georgia had the largest increase — 14 more filings than the prior year. Following Georgia were Iowa and Florida with 14 additional Chapter 12 bankruptcy filings and Nebraska with 11 additional filings, Figure 3.

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All but three regions of the U.S. experienced higher bankruptcy rates in 2019 compared to 2018. Nearly 46% of the Chapter 12 filings were in the 13-state Midwest region, followed by 22% in the Southeast. The Midwest had 273 Chapter 12 filings, up from 234 filings in 2018, while the Southeast had 132 filings, up from 89 filings the previous year. Figure 4 highlights Chapter 12 bankruptcy filings by region and the year-over-year change.

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Over the last decade, there have been more than 5,000 Chapter 12 farm bankruptcies across the U.S., representing approximately a quarter of 1% of all farm operations during this time period. At 388 filings, Chapter 12 filings over the last decade were the highest in California, followed by Wisconsin at 375 filings and Georgia at 351 filings. Figure 5 highlights Chapter 12 farm bankruptcies over the last decade.

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Summary

Depending on perspective, net farm income in 2019 inflation-adjusted dollars is either down 33% from a record high or up nearly 40% from the decade low set in 2016. Regardless of perspective, net farm income in 2019 is slightly above the 20-year average but was supported in large part by the Trump administration’s efforts to financially shield farmers from unfair retaliatory tariffs. Without this support, farm-related income from crop and livestock sales in 2019 inflation-adjusted dollars would have been at the second-lowest level in the last decade at $63.6 billion. The corollary to this is that farm bankruptcies could have been worse considering the record-high farm debt of $415 billion (in nominal terms) and the likely difficulties servicing this debt without the revenue from the Market Facilitation Program. The Trump administration is not expected to announce a third round of trade assistance given the welcome trade news with respect to Japan, USMCA and a China Phase 1 deal. As a result, farm financial conditions in 2020 will come down to – notwithstanding any other black swans — a race between the additional grain and oilseed supplies likely to come online following a record prevented planting year and any demand boosts for U.S. agriculture that results from these new and enhanced trading opportunities. Nick Note: I see Trump has made the GREAT American farmer great again just like he did for the coal miners and the steal mills. God Bless Donald trump

Taliban say mystery crash in Afghanistan was US aircraft

KABUL, Afghanistan – A U.S. military aircraft crashed in eastern Afghanistan on Monday, a Taliban spokesman and Afghan journalist affiliated with the militant group said. Tariq Ghazniwal, a journalist in the area, said that he saw the burning aircraft. In an exchange on Twitter, he told The Associated Press that he saw two bodies and the front of the aircraft was badly burned. He added that the aircraft’s body and tail were hardly damaged. His information could not be independently verified. Taliban spokesman Zabihullah Mujahid said a U.S. airforce plane crashed in the Ghazni province. He claimed the crash killed “lots” of U.S. service members. The militant group often exaggerates casualty figures. Ghazniwal said the crash site was about 10 kilometers (6.2 miles) from a U.S. military base. Local Taliban have deployed to protect the crash site, he said, and several other militants were combing the nearby village for two people they say survived the crash. The Taliban control much of the Ghazni province and have total control over the local area of the crash. Ghazniwal said the site was near a village called Sado Khelo, in the Deh Yak district. He also said the crash occurred soon after 1 p.m. local time, but residents in the area did not report a loud crashing noise. He couldn’t say whether the aircraft had been shot down but “the crash was not loud.” U.S. Army Maj. Beth Riordan, a spokeswoman for U.S. Central Command, declined to comment when told about the Taliban claim. She earlier acknowledged American military officials were investigating reports of a crash in Afghanistan. She said that it remained unclear whose aircraft was involved in the crash. Riordan declined to immediately comment further. However, pictures on social media purportedly from the crash site showed what could be the remains of a Bombardier E-11A aircraft, which the U.S. military uses for electronic surveillance over Afghanistan. Images on social media purportedly of the crashed plane showed an aircraft bearing U.S. Air Force markings similar to other E-11A surveillance aircraft photographed by aviation enthusiasts. Visible registration numbers on the plane also appeared to match those aircraft. The so-called Battlefield Airborne Communications Node can be carried on unmanned or crewed aircraft like the E-11A. It is used by the military to extend the range of radio signals and can be used to convert the output of one device to another, such as connecting a radio to a telephone. Colloquially referred to by the U.S. military as “Wi-Fi in the sky,” the BACN system is used in areas where communications are otherwise difficult, elevating signals above obstacles like mountains. The system is in regular use in Afghanistan. Arif Noori, spokesman for the provincial governor, said the plane went down around 1:10 p.m. local time (8:40 a.m. GMT) in Deh Yak district, some 130 kilometers (80 miles) southwest of the capital Kabul. He said the crash site is in territory controlled by the Taliban. Two provincial council members also confirmed the crash. The mountainous Ghazni province sits in the foothills of the Hindu Kush mountains and is bitterly cold in winter. The Taliban currently control or hold sway over around half the country. Nick Note:  I say the US is having a bad hair day. When you turn tail and run people ain’t afraid of you any more and they get embolden. Notice how the Russian embassy  is fine… They would not dare Fuck with the Russians… they know how to be the worlds policeman!e Russian.

Dow Futures Crash as Coronavirus Spreads and Rocket Hits U.S. Embassy

The Dow Jones faces a disastrous open as the coronavirus spreads across America and the U.S. embassy in Iraq is hit with a rocket strike.
  • Dow futures plunged in early trade as geopolitical threats mount for the U.S. economy.
  • Alongside a fifth confirmed case of Wuhan coronavirus in the United States there was also an attack on the U.S. embassy in Iraq on Sunday.
  • Bulls are now nervously awaiting what could be sizable dip in the Dow Jones when it opens on Monday morning in New York.

The Dow looks set for an extremely rough start to the week as a multitude of geopolitical risks converge on a shaky stock-market. After a weak close on Friday, investors in the Dow Jones are now faced with missile strikes against the U.S. embassy in Iraq, as well as a rapidly escalating coronavirus epidemic in China, with multiple new cases reported in the United States as well. With many economists predicting that the U.S. economy’s historic run would only be halted by an “external shock,” almost on cue, we have not one but two highly significant threats to the Dow Jones’ quest for 30,000. Most recently, health officials confirmed the fifth case of Wuhan coronavirus in the domestic United States, this time in Arizona. Over the weekend, medics also acknowledged two cases in California, one in Orange County and the other in Los Angeles County. That’s a highly unwanted occurrence for an area already in mourning over the loss of its most beloved athlete, NBA superstar Kobe Bryant and his daughter Gianna in a helicopter crash. For investors paying close attention to the spread, California is of particular significance for three reasons. Firstly, California is the most populous U.S. state, with Southern California (mostly L.A. and Orange County) the most densely populated region. Secondly, California is comfortably the largest state economy in the United States, a little under double second place Texas. Finally, it has the largest Chinese-American community (estimated at more than 1.2 million), some of whom visit their country of origin for the Lunar new-year (January 25), making the threat of contamination more probable moving forward. Given the previous impact that virus epidemics have had on the stock market, major global indexes like the Dow Jones cannot ignore the spread of coronavirus within China.Fears are escalating that Beijing has been massively downplaying the rate of infections, and the crisis has hit during the most significant economic event of the year.

Dow Jones, Stock Market, coronavirus, China

A huge hit to Chinese productivity is expected, with knock-on effects in the global economy inevitable. In Hong Kong, protests remain fierce, this time against state administered quarantine, as protesters set fire to the buildings designated for infected parties. Nick Note: The stock market balloon has found it pin.