Global stocks pulled back from record highs.
It wasn’t immediately clear what triggered the morning sell-off in equities, but some market watchers said concerns the impact of the coronavirus could be more widespread than previously thought weighed on investor sentiment.
“News of deaths in Japan and South Korea due to the virus are leading to concerns that the global supply chain will be impacted in a material way — this can be seen in the price action of the semiconductors companies,” Chris Zaccarelli, chief investment officer for Independent Advisor Alliance, said.
“Unless we see confirmation that the spread of the virus is under control, it’s going to continue to be a worry that will weigh on the broader market and drive people away from risk assets and to areas of safety such as treasuries, gold and other defensive assets,” he added.
Investors spent most of the morning processing a stream of cautious outlooks from multinationals, including P&G, Yum Brands and 3M, which have variously warned on the impact the coronavirus might have on their operations during the quarter.
Investors continued to head to haven assets