Kim Yong-beom, the 1st Vice Minister of Strategy and Finance, is speaking at the Macroeconomic Finance Meeting held at the Bankers' Hall in Jung-gu, Seoul on the 1st. Photo by Moon Ho-nam munonam@
[Asia Economy Reporter Jang Sehee] The government announced that it is monitoring the financial market impact following U.S. President Donald Trump's diagnosis with the novel coronavirus infection (COVID-19).
A Ministry of Economy and Finance official stated on the 2nd, "We believe President Trump's diagnosis could amplify uncertainty in the financial markets, so we have begun operating a monitoring system."
The government views the increased uncertainty in the financial markets due to President Trump's COVID-19 diagnosis seriously and is reportedly making thorough preparations to respond accordingly.
Currently, the Ministry of Economy and Finance, centered around the Economic Policy Bureau and the International Finance Bureau, is observing global financial market reactions together with related organizations such as the International Finance Center.
In the financial markets, there is speculation that the news of President Trump's COVID-19 diagnosis, coming about a month before the U.S. presidential election, could increase uncertainty worldwide and become a factor that heightens volatility.
In fact, immediately after the news of President Trump's diagnosis was announced, global financial markets saw stock prices turn downward, and safe-haven assets such as the yen and the dollar surged.
As of this time, the stock markets in the UK, France, and Germany are recording declines within 1%. E-Mini S&P 500 and E-Mini Nasdaq 100 futures are fluctuating between -1.5% and -2%.
Kim Yong-beom, the First Vice Minister of the Ministry of Economy and Finance, said on Facebook today, "The initial reaction in the European markets is surprisingly calm," adding, "The movement of the U.S. market, which will open in a few hours, is of utmost interest."
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