Coronavirus overshadows China stimulus and weighs on oil recovery

The rate of infections has declined in Hubei, the epicenter of the outbreak, but investor anxiety has crept back in as the virus spreads globally

Oil fell, paring this week’s gain, as renewed concern over the impact of the coronavirus overshadowed hopes that China’s stimulus efforts will cushion the blow to demand.

Futures in New York fell 1.2 per cent, yet remain about 2.3 per cent higher this week after China, South Korea and Singapore started rolling out measures to protect economic growth as the virus hits businesses and travel. Commodities had rallied prematurely, focusing on the planned stimulus and ignoring the immediate disruption, according to Goldman Sachs Group Inc.

The rate of infections has declined in Hubei, the epicenter of the outbreak, but investor anxiety has