World News

Coronavirus had huge market impact but policymaker caution needed: ECB

FRANKFURT (Reuters) – European Central Bank Vice President Luis de Guindos cautioned against a hasty response to the coronavirus outbreak, even if the outbreak has already had a “huge” impact on global markets.

“I think we have to be very prudent. We are in the first stage of this outbreak and know very little about the characteristics of the virus so far”, de Guindos told Greek broadcaster ERT in a television interview.

“The outbreak of the coronavirus is an important element that has had a huge impact on equity markets and commodity prices,” de Guindos said. “Markets don’t like uncertainties.”

(Reporting by Balazs Koranyi; Editing by Chizu Nomiyama)