The world this week
Staggering from the effects of coronavirus on business, stockmarkets were also sent reeling by Saudi Arabia's decision to instigate an oil-price war with Russia, as the pair's agreement over production levels broke down。 Oil prices plunged in the sharpest oneday decline since 1991。 Saudi Aramco, the state-controlled oil company, is increasing capacity by 1m barrels of oil a day to a record 13m, saturating an already over-supplied market。 Trading remained volatile; the decade-long bull run in stockmarkets was deemed to be over。
Amid the turmoil Saudi Aramco saw its stock fall below 32 riyals ($8.50) for the first time, the price at which the shares were offered when they floated on the stockmarket in December.
The Bank of England made an emergency cut to interest rates, lowering its main rate by half a percentage point to 0.25%. It also extended cheap funding to banks so that they can "bridge a potentially challenging period". The European Central Bank prepared to ease policy and offer a range of supportive actions to companies and banks. The Federal Reserve pumped money into the short-term repo market to support the "smooth functioning of funding markets".
The aviation industry is being battered by the covid-19 outbreak。 Boeing lost a fifth of its market value in a day amid reports that it would soon use the remainder of a $13。8bn loan it had only recently secured。 Korean Air, which has cancelled 80% of its international flights, said that prolonged disruption threatened its survival。 The suspension of many flights, and a general reluctance to travel, has already led to a collapse in bookings, which will be compounded by America's ban on flights from Europe。 Chinese airlines have been the worst affected。 Chinese passenger numbers tumbled by 85% in February compared with February 2019。
广东快乐十分India's central bank stepped in to rescue Yes, the country's fourth-largest private lender, which is grappling with high debt. The bail-out involves State Bank of India, the biggest government-owned bank, taking a stake in Yes.
Jamie Dimon, the chief executive of JPMorgan Chase, had an emergency procedure on his heart, leaving two senior executives in charge until he recovers。 Mr Dimon has run the company since 2005, making him the longest-serving CEO of any big American bank。