Coronavirus (COVID-19) outbreak is impacting all the businesses around the globe. The World Health Organization (WHO) has declared this disease as Pandemic. The cryptocurrency industry is also one of the major sectors where the officially announced Pandemic by BBC is multiplying its influence.
The global derivatives exchange- the Chicago Mercantile Exchange (CME) has announced the suspension of Chicago trading services in response to Coronavirus from its floor. The updates have come through a report published by CNBCon March 11.
On January 13, 2020, CME group had become the 2nd largest firm to launch options on Bitcoin Futures in the United States. However, after seeing the precautionary steps taken by several other companies against Coronavirus, the CME group has also decided to act and take safety measures.
Reportedly, the CME group is the 1st major U.S exchange, which has taken this step in precaution to over the spread of Coronavirus. The closure of Chicago trading services will take place on March 13 “at the close of business hours.” However, CME’s headquarters in Chicago will continue to open with total chief 450 staff members.
“No coronavirus cases have been reported at the Chicago Board of Trade trading floor.” The step is to keep the precautionary measures on the trading floor in concerns of the Coronavirus. CME said in a statement which CNBC cited.
Further, it has mentioned that once more medical guidance on Coronavirus is available, the reopening of the trading floor will be evaluated.
As per the available information, CME will provide “additional q&a” to its traders on March 12 to carry out certain floor products, protocols, procedures, and other floor-related routines.
Coronavirus (COVID19) Impacts Over Dow Market Index
Due to the epidemic of Coronavirus, the effects on the U.S. stock market, including other nations, are getting worse. On March 12, Trump has announced a ban on most of the travel arrangements from Europe. The crash in U.S. stock markets has disturbed the worldwide nations who have also decided to shut borders to stop virus infection.
The Dow Jones Industrial Average has entered into the bear market, and its futures drop over by 1000 points or 4.6%. The overall index is down by approx.1500 points in the past 24 hours as President Donald Trump’s coronavirus plan has failed to influence the investors.
“The Dow Jones Industrial Average (Dow) is a stock market index that measures the stock performance of 30 large companies listed on stock exchanges in the United States.”
Global Stock Market Crashed on the Wave of Coronavirus
Reportedly, S&P 500 (SPX) is down by 4.3%, and similarly, Nasdaq (COMP) futures plunged by 4.5%. Global markets, including London’s FTSE 100 (UKX) has dropped to 5.3%, Germany’s Deutsche Borse Dax Index (DAX) shed to 5.5% and France’s CAC 40 plummeted 5.4%.
COVID-19 Outbreak Alerted Worldwide Business Groups
According to the data compiled by Johns Hopkins University, Global coronavirus cases have crossed the range of 124,000. In India, at the time of writing, 79 patients have been found infected, in the U.S., the numbers are 1,110 and over 30 death cases which have come into light concerning the COVID-19 plague.
The Prime Minister of India, Narendra Singh Modi, has stated that “no Union minister will travel abroad in the coming days.”
Several companies have advised their employees to work from home to avoid any bug from Coronavirus.
If we go by the corroborated reports, including Reuters, the New York Stock Exchange has also decided to keep the employees safe from the contagious virus and work on isolating traders and other employees to avoid any contagion.
However, there is no information about the closing of the trading floor confirmed despite 200+ cases in the city.
Italy, after China, is the most affected country by Coronavirus and has shut down all the stores expect medical and grocery stores nationwide.
This week Italy’s stock index has nosedived by 18%, which further slumped to 5.1%.
COVID-19 Fear & Precautions
Most of the cryptocurrency event holders have decided to put off the gathering and events to take preventive actions to counter COVID-19 effects.
Reportedly, the American stock exchange, Nasdaq, based in NYC, is formulating plans to back up its trading floor and provide data facility space to a different location. Philadelphia’s Navy Yard business center in South Philadelphia has chosen as a safe location if in case the COVID-19 impressions get worse in Wall Street. However, the securities-trading group will remain open for business.
Crypto exchanges and related business houses like Coinbase, Messari, Blockstack, and the Winklevoss Twins have also warned their employees to upkeep themselves with essential information and take necessary measures to keep them safe from the terrible effects of Coronavirus (COVID-19). These firms have asked their employees to work remotely from home until they broadcast further notice.