Latin American currencies and stock exchanges hit by coronavirus ravages

The currencies and stock exchanges of Latin America have witnessed a drop amid renewed fears caused by the coronavirus and the effects it may cause on the global economy.

The situation directly affects Chinese factories because during the Lunar New Year the Chinese take vacations and after extensive travel restrictions imposed to stop the spread of the Wuhan virus they see very difficult to resume their work functions.

Likewise, numerous countries have seen with concern the international emergency declared by the World Health Organization, which has resulted in hundreds of citizens evacuated from the city of Wuhan and isolated in an effort to stop the spread of the epidemic that has killed 170 people.

As for Latin American currencies and exchanges, they have also been affected by the crisis. Indeed, the Mexican peso was trading at 18.7710 units per dollar, with a fall of 0.43% to reach 18.6915 as Reuters registered on Wednesday. In Argentina, the peso operated at 60.29 units per dollar and with the decline in the Merval index of the Buenos Aires stock exchange and negative energy shares it fell 1.19%.

“Global markets have been swept away by a wave of fears caused by the coronavirus and the implications that it may have on the world economy. Emerging markets do not escape to this situation which is reflected in currencies and exchanges, mainly” , said an operator.

K. Villarroel

Source: americaeconomia