(Bloomberg) — U.S. House Speaker Nancy Pelosi said she’s near an agreement with the Trump administration on a bill to mitigate impact from the virus. The outbreak could result in 50 million jobs lost in the tourism industry globally, according to an estimate the World Travel and Tourism Council.
China’s Central Bank said it would pump in $79 billion to bolster the economy. Britain’s chief scientific officer defended the government’s move to abandon efforts to contain the outbreak and Australia’s minister of home affairs, who met Ivanka Trump last week, said he had the disease.
The global death toll topped 5,000 after Iran reported another surge in cases and fatalities.
Key Developments:
New York City declares emergency; Trudeau in isolationAsian central banks inject funds to calm marketsRoche cleared for coronavirus test that’s 10 times fasterLarge school districts across the U.S. announce closures
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Outbreak Could Lead to Millions of Tourism Job Losses (6:38 a.m. NY)
The coronavirus outbreak that has left hundreds of flights grounded and dozens of cruises docked could result in 50 million jobs lost in the tourism industry globally, according to an estimate from the World Travel and Tourism Council, an organization that represents the tourism private sector. The figure was calculated estimating that the outbreak will impact the sector for 3 months, said WTTC director Virginia Messina.
Nordic Countries Try to Limit Fallout (6:20 a.m. NY)
With the number of confirmed cases now well above 2,000, the Nordic region has cut interest rates, introduced business tax breaks and shuttered schools, as policy makers attempt to contain the spread of the coronavirus in Europe’s northern tip.
The central banks of Norway and Iceland both held unscheduled meetings to reduce their benchmark rates this week, while Norway has followed Denmark’s example by shutting schools and universities for weeks. Governments have also vowed to support businesses and financial institutions with tax breaks, loan facilities and lower capital requirements. Sweden’s Riksbank has decided to lend up to $51 billion to the country’s banks.
Correct: U.K. Strategy for Millions to Catch Virus (6:10 a.m. NY)
The U.K. government’s strategy to tackle the outbreak will need almost 40 million Britons to catch the disease to work, according to the country’s top scientific adviser. “Sixty percent is the sort of figure you need to get herd immunity,” the government’s Chief Scientific Adviser Patrick Vallance told Sky News.
He was referring to the point where a high enough proportion of the population has had an illness — and gained immunity to it — that it won’t be transmitted to those who haven’t had it. The government wants to achieve this over the summer months, before the next winter sets in.
The figure is likely to be controversial, and comes a day after Johnson told reporters many families can expect to lose their loved ones and that the nation is facing the greatest public health crisis in a generation. His approach has been criticized by other medical experts because measures announced so far are relatively restrained compared to other countries.
VW CEO Optimistic on China (5:40 p.m. HK)
“For China I’m quite optimistic,” Chief Executive Officer Herbert Diess said in a Bloomberg TV interview on Friday. “We expect that over the rest of the year there is the potential to recover.” The world’s largest automaker has so far proved relatively resilient to the demand shock from coronavirus.
London Underground Driver Tests Positive (5:40 p.m. HK)
A train driver on London’s Jubilee line tested positive and is self-isolating. The driver was not working in a customer facing area.
HK Considering Extending Travel Alert to Whole of Europe (5:37 p.m. HK)
Senior government officials are examining whether to extend the city’s travel alert to cover all of Europe and may make relevant announcements soon, Chuang Shuk-kwan, head of communicable disease branch at Hong Kong’s Department of Health, said. Hong Kong found three new confirmed coronavirus cases on Friday.
Germany Plans Liquidity Aid for Firms, DPA Says (5:37 p.m. HK)
Ministers Olaf Scholz and Peter Altmaier are planning liquidity measures worth billions of euros to aid firms, DPA reports, without saying where it got the information. The plans are set to include delays to tax payments.
The government will stop economically healthy companies from becoming insolvent because of the coronavirus outbreak, German Economy Minister Peter Altmaier told Spiegel magazine in an interview.
Bulgaria Joins Countries Declaring State of Emergency (5:28 p.m. HK)
The move gives Bulgaria’s government extraordinary powers after the number of cases of coronavirus in the country tripled in a day. Approved in a parliamentary vote, the month-long measure puts the Black Sea nation in the ranks of other countries in the European Union’s eastern wing, including Slovakia, the Czech Republic, Hungary and Latvia, that have declared states of emergency.
Sports Leagues Suspended (5:26 p.m. HK)
The NCAA, Major League Baseball, PGA Tour and the National Hockey League will suspend play in response to the coronavirus, joining other U.S. organizations in virtually shutting down major spectator sports across the country. Separately, England’s Premier League called an emergency meeting to discuss future matches after Arsenal Football Club head coach Mikel Arteta tested positive and European soccer body UEFA postponed matches.
U.S. President Donald Trump suggested the Tokyo Olympics should be postponed, as the events’ organizers denied they were considering changing the start planned for July 24. “I would say maybe they postpone it for a year,” Trump said, but added that he does not plan on making the recommendation to Japanese Prime Minister Shinzo Abe.
Indian Premier League, a cricket tournament set to start March 29, has been suspended until April 15. And Formula One confirmed it will cancel this year’s season-opening Australian Grand Prix event in Melbourne.
Asia’s Central Banks Try to Calm Virus-Hit Markets (1) (5:21 p.m. HK)
Asian central banks moved aggressively to counter the market carnage, pumping liquidity into the financial system and discussing emergency action. The People’s Bank of China injected $79 billion into the economy through a reduction in reserve ratios for banks. The Bank of Korea is considering a special meeting to tackle wild swings in the foreign-exchange market, and Japan offered to provide as much as 2.2 trillion yen ($20.8 billion) of liquidity in three different operations.
Regulators Step In to Steady Markets (4:54 p.m. HK)
After a brutal trading session on Thursday, Italian and Spanish securities regulators banned short sales during Friday on some stocks. The Spanish ban will affect 69 stocks, while in Italy 85 stocks will be affected. Italy’s FTSE MIB plunged 17% on Thursday, while Spain’s IBEX-35 slumped 14%, both record losses, amid a global sell-off. Both benchmarks rose at least 3.3% on Friday.
In Germany, short selling will not be banned for now, a spokesman for the Deutsche Boerse said. Switzerland’s SIX Exchange isn’t planning a ban, while Dutch market regulator AFM said it is monitoring the situation.
Short-selling restrictions were also put in place for some Asian markets, with South Korea’s Financial Services Commission going the furthest by banning short-selling of shares listed on Kospi, Kosdaq and Konex for six months. In Thailand, short sales were not banned, but rules are being adjusted for current market conditions, according to the President of the country’s stock exchange.
ECB to Ensure Smooth Policy Transmission (4:53 p.m. HK)
The European Central Bank pledged to smooth the transmission of its monetary policy, signaling it’s ready to rein in widening bond spreads, and stressed it can further reduce interest rates if needed.
A day after President Christine Lagarde’s presentation of the ECB’s latest stimulus measures failed to calm markets, Chief Economist Philip Lane reinforced the institution’s determination to combat the economic fallout of the coronavirus.
“The Governing Council retains the option of future cuts in the policy rate, if warranted by a tightening in financial conditions or a threat to our medium-term inflation aim,” Lane added, after the ECB kept interest rates unchanged on Thursday.
Australia Minister Who Met Ivanka Trump Tests Positive (4:42 p.m. HK)
Minister for Home Affairs, Peter Dutton, has been diagnosed with COVID-19 and admitted to hospital. The Cabinet member visited the White House on March 5 and was pictured with Ivanka Trump, Attorney General William Barr and other ministers representing the Five Eyes security pact.
Prime Minister Scott Morrison said in a statement the country’s deputy chief medical officer had advised it was not necessary for the prime minister or other cabinet members to be quarantined as they had not been in contact with Dutton in the 24 hours before he became symptomatic.
Dutton’s announcement came just hours after Morrison told reporters Australia was advising against non-essential, organized gatherings of 500 people or more from Monday, in an escalation of the nation’s response to the coronavirus outbreak.
Germany’s State of Bavaria Closes Schools: DPA (3:24 p.m. HK)
The southern German state of Bavaria will close all schools and nurseries from Monday until the beginning of the Easter vacation in the first week of April, news agency DPA reported, citing unidentified government sources.
Bavaria is the second of Germany’s 16 federal states to close schools after Saarland on the French border, DPA said. The number of confirmed cases in Germany jumped to 2,369 Thursday, with five deaths.
Roche Gets Clearance for Faster Virus Test (2:41 p.m. HK)
Roche Holding AG said it won emergency approval from the U.S. government for a highly automated coronavirus test, potentially speeding up the ability to test patients by a factor of 10.
The U.S. Food and Drug Administration granted “Emergency Use Authorization” to the test, which runs on Roche’s cobas 6800/8800 systems. The tool also is available in Europe and countries that accept its CE marking for medical devices, Roche said.
The 8800 version is capable of testing 4,128 patients a day, and the 6800 can test as many as 1,440, the Basel, Switzerland-based company said.
Indonesia Unveils Fresh Stimulus (12:59 p.m. HK)
Indonesia unveiled an emergency fiscal stimulus plan worth 22.92 trillion rupiah ($1.55 billion) as it seeks to protect Southeast Asia’s largest economy from the coronavirus crisis.
The package, which follows $745 million in stimulus announced last month, comes amid a deteriorating outlook for Indonesia’s economy. Despite only 34 confirmed cases of Covid-19 so far, the country has been hit hard by the risk aversion sweeping global markets.
Australia Advises Against Gatherings as Cases Jump (12:24 p.m HK)
Australia is advising against non-essential gatherings of 500 people or more from Monday, in an escalation of the nation’s response to the coronavirus outbreak.
Prime Minister Scott Morrison told reporters in Sydney the move would not impact schools, universities or public transport. Morrison also urged Australians to reconsider their need to travel overseas.
The nation’s official tally of confirmed cases stood at 156 on Friday, up 24% from the previous day, with three fatalities.
Singapore Stops Port Calls for Cruise Ships (12:15 p.m. HK)
Singapore said it will cease port calls for all cruise vessels with immediate effect, and bar the entry and transit of visitors with recent travel history to Italy, France, Spain and Germany, as coronavirus cases rise globally. The temporary border restrictions for the European countries will come into effect from March 15, the health ministry said in a statement Friday.
Chinese Official Pushes U.S. Conspiracy Theory (11:20 a.m. HK)
A Chinese foreign ministry official pushed a conspiracy theory the U.S. army may have had a role in spreading the virus, highlighting growing tensions between the world’s biggest economies as both governments seek to deflect blame for the outbreak.
“It might be US army who brought the epidemic to Wuhan,” Zhao Lijian, a foreign ministry spokesman, said in a tweet. “Be transparent! Make public your data! US owe us an explanation!”
He later followed up with another tweet urging his 284,000 followers to share an article arguing that the virus originated in the U.S. With the coronavirus spreading from China into the U.S. and around the world, both nations are trading tit-for-tat claims about its origins.
China’s New Cases Drop to Single Digits (11:03 a.m. HK)
New infections of the coronavirus in China dropped to single digits for the first time since the country began reporting daily numbers in mid-January.
As of March 12, China had eight new cases and seven additional deaths, said the National Health Commission on Friday. The dramatic plunge to a single-digit increase — from the height of nearly 15,000 cases added in one day on Feb. 13 — is another sign that viral outbreak has come under control at its epicenter for now, despite accelerating its spread in Europe and the U.S.
China now has 80,813 total confirmed cases. Total deaths rose by seven to 3,176.
Trudeau’s Wife Tests Positive for Virus (10 a.m. HK)
Canadian Prime Minister Justin Trudeau’s wife, Sophie Grégoire Trudeau, tested positive for the coronavirus and will remain in isolation, the prime minister’s office said in a statement.
Justin Trudeau, who put himself in self-isolation and is working from home, will not be tested at this stage, according to the statement.
“I am feeling fine & I’m not exhibiting any symptoms of the virus, but I will also be following the advice of our doctor and I will continue to self-isolate for now,” Justin Trudeau said in a tweet.
Pelosi Says Near Agreement on Virus Bill (9:39 a.m. HK)
House Speaker Nancy Pelosi said she’s near an agreement with the Trump administration on a plan to mitigate some of the economic blows from the coronavirus outbreak. Pelosi put off a vote on a package of measures proposed by Democrats after day-long talks with Treasury Secretary Steven Mnuchin. She said she hopes to announce on Friday whether a deal has been struck.
Disney Shuts Resorts, Suspends Cruises (8:49 a.m. HK)
Walt Disney Co. is closing its theme parks in Florida, California and Paris in response to the coronavirus pandemic, and will suspend all new cruise departures starting Saturday.
The closings in Florida and France followed a decision earlier Thursday to shutter the Disneyland Resort in Anaheim, California. Disney has already closed its parks in Asia. The entertainment giant isn’t alone in shuttering theme parks. Universal Studios Hollywood is also closing on Saturday.
(A previous version was corrected to fix Patrick Vallance’s title)
–With assistance from Sophie Alexander, John Tozzi, Dina Bass, John Martens, James Paton, Olivia Konotey-Ahulu, Nick Rigillo and Laura Millan Lombrana.
To contact Bloomberg News staff for this story: Adveith Nair in London at [email protected]
To contact the editors responsible for this story: Stuart Wallace at [email protected], Kara Wetzel, Adveith Nair
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