How The Coronavirus Outbreak Is Affecting China and Global Economy
China's economic growth could fall below 6% due to cutbacks in travel and spending, economists predict. Luxury goods makers and travel companies could take a hit from a decline in Chinese tourism and spending. The impact could be similar to the SARS virus in 2002-2003, which pared China's economic growth temporarily. As health authorities across the globe are working to contain the rapid spread of the coronavirus, which has left at least 17 dead in China at last count, economists are grappling with the disease's impact on the global economy. Already, fears about the growing contagion has rattled stock markets and hit some travel stocks.
Stocks fell on Wall Street in midday trading
Thursday as worries mounted that the deadly outbreak could continue spreading and hurt the global economy. The central Chinese city of Wuhan, where the virus is concentrated, closed its train station and airport Thursday to prevent people from entering or leaving the city. The coronavirus has also been detected in four other countries, including the U.S.