Asian shares inch higher as threats of coronavirus recede

Asian shares inch higher as threats of coronavirus recede

Asian shares inched higher on Wednesday amid news of the receding threat of the coronavirus in China. However, uncertainty about the economic impact of the outbreak still kept investors cautious.

MSCI’s broadest index of Asia-Pacific shares outside Japan moved up by 0.31%.

Chinese shares fell 0.12%, though other equity investors were not worried about the decline. Hong Kong shares rose 0.57%, marking a 3-week high.

Japan’s Nikkei stock index rose 0.6% while Australian shares were up 0.52%.

The Yuan remained steady on onshore trade while safe-haven assets, such as the Yen and the Swiss Franc were relatively weaker, signaling at an improving sentiment.

Global mood brightened after China’s senior medical adviser said on Tuesday that the number of new cases of the virus was receding especially in Hubei. At the province in the epicenter of the outbreak, the number of cases went down to its lowest since January 31, at 1,068 compared to its peak of 3,000 new cases on February 4.