- Title: German DAX down 10% as European shares are set for worst ever day
- Date: 12th March 2020
- Summary: FRANKFURT, GERMANY (MARCH 12, 2020) (REUTERS) ELECTRONIC BOARD SHOWING CHANGES IN DAX OF -10,68% TRADER WIDE TRADING FLOOR TRADERS DAX BOARD TRADERS WIDE TRADING FLOOR DAX BOARD SHOWING DOWNWARDS GRAPH TRADER BOARD SHOWING HIGHS AND LOWS (SOUNDBITE) (German) HEAD OF CAPITAL MARKET ANALYSIS AT BAADER BANK, ROBERT HALVER, SAYING: "The ECB had to deliver and did deliver, but it is precisely those emergency measures which are very extensive, are the proof that we are in the midst of a crisis. The market needs to stomach this, and it will. I am certain that we will manage to rise up again from the lows." INDUSTRY SHARES ON BOARD (SOUNDBITE) (German) HEAD OF CAPITAL MARKET ANALYSIS AT BAADER BANK, ROBERT HALVER, SAYING: "There is a very serious risk banks will be affected if entire companies go bankrupt. But the ECB has clearly stated that they would give banks their full support whatever the costs, produce more market liquidity, increase bond purchases to protect not only the state but also individual companies, and that was the right message. Now it's down to politics - these political measures must be seized. The table is heaving with money - but what is the point when no one is hungry for it?" BOARD SHOWING DOWNWARDS GRAPH (SOUNDBITE) (German) HEAD OF CAPITAL MARKET ANALYSIS AT BAADER BANK, ROBERT HALVER, SAYING: "The emergency banks have done everything in their power. We cannot do anything more. Nor can the ECB. Now it is up ti the other side, the cultural policy. It needs to make sure that the culture only dips and not turns into a total loss. Or to say it in fireman's terms: the fire brigade must be called as soon as the roof beams start burning, not when the fire has already burned the whole building to the ground." MASCOT BULL FIGURINES TRADER DAX BOARD AND MASCOT BULL FIGURINE
- Keywords: DAX ECB coronavirus losses shares stocks
- Reuters ID: LVA001C4QW4GD
- Location: FRANKFURT, GERMANY
- City: FRANKFURT, GERMANY
- Country: Germany
- Duration: 00:02:28
- Aspect Ratio: 16:9
- Story Text: European shares were on track for a record loss on Thursday, hitting a near seven-year low after the ECB held off on a rate cut, further upsetting markets reeling from U.S. travel restrictions to halt the fast-spreading coronavirus.
The ECB approved additional asset purchases and temporarily dropped banks' capital requirements to help the euro zone cope with the shock of the coronavirus pandemic.
However, the central bank kept interest rates on hold, contrary to what markets had been pricing in.
This exacerbated tensions over the economic shock from U.S. President Donald Trump curbing travel from Europe to the United States for 30 days.
The German Dax fell by over 10% at times, the benchmark STOXX 600 index fell around 10%, extending declines to a sixth straight day with all but one constituent trading in the red as the World Health Organisation for the first time referred to the coronavirus outbreak as a pandemic.
(Production: Hakan Erdem, Ute Swart)
- Copyright Holder: REUTERS
- Copyright Notice: (c) Copyright Thomson Reuters 2020. Open For Restrictions - http://about.reuters.com/fulllegal.asp
- Embargoed:26th March 2020 14:42
- Usage Terms/Restrictions: None