Asian markets sink as pandemic deaths soar

Asian markets were mostly in the red in early trade Monday despite massive economic stimulus efforts worldwide, with investors spooked by the relentless march of the coronavirus pandemic.

The negative mood was fuelled by the failure of US lawmakers to agree on a trillion-dollar emergency package to help the reeling American economy.

The global death toll from the virus has surged past 14,300, with nearly a billion people confined and non-essential businesses shut in dozens of countries and growing fears about a recession.

Wellington nosedived 9.3 percent as New Zealand announced a four-week lockdown to stop the spread of the coronavirus.

The Hang Seng Index in Hong Kong was down 3.7 per cent, Sydney dropped six per cent, Shanghai shed 2.5 per cent and Taiwan was off by 2.8 per cent.

Singapore tanked 7.5 per cent, Jakarta lost four per cent, and Seoul was down 3.4 per cent.

Tokyo, however, was up 0.5 per cent as a cheaper yen against the dollar boosted the market.

Economists and analysts are now worried about how deep the impact of the pandemic could be on the global economy, with social distancing measures and lockdowns dealing serious blows to many industries.

Goldman Sachs, Morgan Stanley and JP Morgan Chase have all forecast US GDP drops, according to Bloomberg News.

"These rapid and unprecedented downgrades illustrate just how fast we've moved from a brief health scare to a full-blown global recession," said Stephen Innes, global chief markets strategist at AxiCorp.

Constance Hunter, chief economist at KPMG, agreed, telling Bloomberg TV: "It's a health crisis that's started morphing into a financial crisis."
But President Donald Trump sounded a note of optimism: "I think that the Democrats want to get there, and... the Republicans want to get there."