How much value has been wiped off world equity markets due to pandemic fears?

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US$1.5 Trillion Wiped Off Global Equity Markets Amid Pandemic Fears

Fears of a global pandemic have led to a significant decline in world equity markets, with an estimated US$1.5 trillion (RM6.4 trillion) in value being lost. This downturn has impacted major stock exchanges, including London and Wall Street, and has prompted calls for central bank intervention and increased government spending to combat the economic fallout.
London Stock Exchange Experiences Further Decline

London-listed stocks continued their downward trend, with the blue-chip FTSE 100 index losing an additional 0.2 per cent. This followed the index's worst session since 2015, which was triggered by a sharp increase in Covid-19 cases in South Korea, Iran, and Italy. The domestically focused mid-cap index, however, remained flat. Sectors with high exposure to China, such as airlines, mining, and oil companies, saw minimal changes.
Wall Street Suffers Significant Losses

The downturn was not confined to London, as Wall Street experienced its worst day in two years. In response to the escalating economic concerns, the White House requested approximately US$2.5 billion from Congress to fund efforts to combat the virus, with over US$1 billion specifically allocated for vaccine development.
Market Anticipates Central Bank Intervention

As the potential for a substantial disruption to global supply chains grows due to the health crisis, traders are increasingly looking to central banks worldwide to inject liquidity into the markets and sustain economic growth. Expectations for a March interest rate cut by the Federal Reserve have risen significantly, now standing at over 14 per cent, a notable increase from just 3.8 per cent a month prior. China's central bank has already implemented several measures and signalled its readiness to take further action.

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How much value has been wiped off world equity markets due to pandemic fears?

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