The stock markets are in the grip of the corona virus. The AEX lost more than 3.5 percent, just like the stock exchanges in London, Paris and Frankfurt. On Wall Street, Dow Jones and the Nasdaq technology index are more than 2 percent lower.
The stock market prices rippled up and (especially) down, with large losses on the left and right. Halfway through the afternoon, the AEX fell five percent, the largest loss since June 2016. The stock market reacted fiercely to the outcome of the British brexit referendum.
The AEX has now fallen by more than 10 percent in one week. A week ago the stock market index reached a peak of 629 points. In stock market terms, a 10 percent loss in a day or couple of days is called a crash.
Netflix bright spot
Many stocks from all kinds of sectors incurred heavy price arrears. Air France-KLM lost almost 10 percent and has already lost one fifth of its value this week. Steel company Arcelor Mittal and industrial conglomerate Aalberts Industries both lost 10 percent.
Only stock trader FlowTraders managed to rise again. The company lives from stock market trading, whether prices are going up or down.
Investors fear that the coronavirus will hit more and more economies, and will paralyze businesses and transport. The World Health Organization warns of a pandemic unless aggressive measures are taken. The International Monetary Fund fears that the global economy will deteriorate.
The American tech companies are also being hit hard again. The only bright spot is Netflix. Investors seem to be guessing that people who have to stay at home because of the virus turn on the video service.
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