How coronavirus is rippling through travel, energy, financial markets

The economic effects of coronavirus have already halted the spread of the virus, with wild markets swinging wildly, closing corporate offices or asking employees to work from home in affected areas, and worldwide Hawaii. Is speeding up the journey. A brief overview of how things are changing in the economy and workplace today.

Air travel

An industry conglomerate says that the spread of coronaviruses could give airlines $ 113 billion in revenue. The figure, released on Thursday, is four times the number released just two weeks ago by The International Air Transport Association, which is flouting governments for aid. The group says the industry urgently needs help from governments to pay certain requirements and fees.

Southwest Airlines reduced its revenue expectations for the quarter from $ 200 million to $ 300 million. “In recent times, the company has experienced a steep decline in customer demand, as well as an increase in trip cancellation,” the company said in a regulatory brief on Thursday, which concerns over alleged cases of COVID-19 Is believed to be responsible for. “Admission.

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The struggling British airline Flybe spread on Thursday as the outbreak of ticket sales came to an end. The British regional airline avoided bankruptcy in January, but the proliferation of coronaviruses sealed its fate, releasing passengers, and now the entire U.K. The feasibility of regional airports in the US threatened.

Small carriers are, particularly at risk. The low-cost carrier Norwegian Shuttle canceled 22 long-haul flights between Europe and the United States from late March to early May. The national carrier Finnair is laying off its entire staff in Finland for two weeks to a month due to the economic impact of the outbreak.

Cruises

The Centers for Disease Control and Prevention is investigating a “small cluster” of patients with new coronaviruses in Northern California who were passengers of a Grand Princess Cruise ship that sailed from San Francisco to Mexico in February, with a player was a county resident who died. This was the first death from a hospital in California by COVID-19 virus Wednesday.

The Chief Medical Officer of the Grand Princess says the ship is at sea off the coast of Mexico and will leave a scheduled halt at Ensenada and return directly to San Francisco, where the CDC and cruise officers will meet to determine the next course of action. He said that guests who went on the voyage on 11 February and are currently on the ship are required to remain in their rooms until they are cleared by medical staff. The ship is expected to dock in San Francisco on Thursday.

Shares of Carnival Corp, which owns Princess Cruise, fell more than 10% on Thursday and have lost 43% of its value since early 2020. Shares in other cruise line operators, such as Royal Caribbean and Norway, also fell by more than 10%.

Malls

Already due to large-scale changes in the retail sector, more than 1,000 malls in the United States are causing a drop in foot traffic. Large malls such as the American Dream and Mall of America and mall owner Taubman Center Inc. say they are adding hand sanitizer stations, and have also stepped in to disinfect high-touch areas such as doors and handrails. The International Council of Shopping Centers said that its members are following the guidelines of the Centers for Disease Control and Prevention.

Employees working from home

More companies are reporting workers with infections in the United States. Facebook is temporarily closing a Seattle office after a worker detected the virus. The last time employees came to the social network’s Seattle office on February 21, so Facebook said the office would remain closed until Monday after the incubation period ended. The company has pushed its Seattle employees to work from home by March 31.

Rajan said that one of his employees in Seattle this week, and two in Milan, Italy, contracted Coronavirus. All were alert. The company asked its Seattle-area employees to work from home if they could. About 50,000 people work in Bellevue, Washington, the offline retailer’s Seattle headquarters or nearby wires.

The state of Charleston has become a hot point, with most deaths in the US occurring in a cluster.

Microsoft asked its Seattle-area workers who are doing their work outside the office to do so by March 25. This directive also affects Microsoft employees in the San Francisco Bay Area. The Redmond, Washington, company stated that employees must come in whenever they work in a data center, retail store, or other location where their presence is required, unless they have an underlying health condition, They are over 60 or fall into other categories, which the Health Authority says is high risk. Microsoft asked people to cancel travel to its Paget Sound and Bay Area campuses until it was “necessary for Microsoft’s continuation.” It has canceled non-essential travel in areas where the virus is active.

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Energy

OPEC cartel oil-producing countries on Thursday called for 1.5 million barrels per day production cuts to support prices caused by the spread of coronavirus. Air travel has started in China since the decline in jet fuel demand. Manufacturing deactivated in China as cities with millions of inhabitants to prevent the spread of the virus. Major companies around the world have stopped business travel with precaution. Despite the proposed cuts, crude oil prices continued to decline. This year they have fallen 24%.

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Market swings

The Dow lost more than 900 points, or 3.37%, on Thursday. Ten-year Treasury yields, which fall as a market concern, hit a record low of 0.904%.

The S&P 500 rolled over 3%. Nasdaq slipped 2.75%. The French CAC 40 fell 2%, Germany’s DAX fell 1.6% and the London FTSE 100 fell 1.8%.</>

 

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