GLOBAL MARKETS – Asian stocks, oil affected by coronavirus risks forecast

* Asian stock markets: tmsnrt.rs/2zpUAr4

* Risk aversion reappears when virus problems occur

* Growing infections in India are shaking energy markets

* Bond traders look forward to a 20-year treasury auction

TOKYO, April 21 (Reuters) – Asian stocks and US futures fell on Wednesday as concerns about the resurgence of coronavirus cases in some countries cast doubt on the strength of global growth and crude oil demand.

European equities seemed poised for a more promising start, however, with Euro Stoxx 50 futures rising 0.28%, German DAX futures 0.25% and British FTSE futures 0.15%.

The largest MSCI index of Asia-Pacific equities outside Japan fell 1.08%. Shares in Australia fell 0.56%, but shares in China recovered early losses and rose 0.29% due to positive gains in the medical and banking sectors.

Stocks in Tokyo fell 1.95% due to the growing likelihood that Tokyo, Osaka and surrounding areas would be blocked due to a new wave of coronavirus infections.

The S&P 500 e-mini futures stock also fell 0.18%.

Future crude will drop from a one-month high to speculation that restrictions on coronavirus in India, the world’s third-largest oil importer, will affect energy demand.

Recent optimism about rising vaccination rates in the United States, the United Kingdom and Europe is leading to concerns that coronavirus infections in India and tightening travel restrictions will act as a brake on the global economy.

“Renewed concerns about the global economic recovery have affected commodity prices and currencies. Many countries around the world, such as India and Brazil, have set new records for infections and deaths, “analysts at the Commonwealth Bank of Australia said in a research note.

“As long as the virus persists, there is a risk that the mutant virus will develop and spread to other countries.”

The decline in Asian stocks followed a declining day on Wall Street. The Dow Jones industrial average fell 0.75%, the S&P 500 lost 0.68% and the Nasdaq Composite fell 0.92% on Tuesday as investors sold airlines and travel-related shares for fear of a recovery. delayed global tourism.

Some tech stocks and home-based companies may face further pressure after Netflix Inc reported a disappointing increase in subscribers for its movie streaming service, which reduced its shares by 11% in trading after hours.

The MSCI global stock index fell by 0.3%.

US crude oil fell 0.69% to $ 62.24 a barrel, while Brent crude oil fell 0.59% to $ 66.18 a barrel.

India, the second most populous country in the world, reported the worst death toll of COVID-19 on Tuesday, with large parts of the country now blocked. Financial markets in India were closed on Wednesday for a holiday.

The Norwegian krone fell for a second session on Wednesday, but the Canadian dollar and Mexican peso remained. Analysts say there are more declines in the currencies of major oil exporters if energy prices continue to fall.

The dollar index against a basket of six major currencies traded for almost a minimum of seven weeks, affected by a decline in US Treasury yields, as some investors sought the security of government debt.

Investors are closely following a 20-year treasury auction later on Wednesday, which will be an important indicator of global fixed income demand.

Prior to the auction results, the yield on 10-year cash notes traded at 1.5626%, close to a six-week low. Yields on 20-year treasuries stood at 2.1481%, close to a seven-week low.

As a sign of growing risk aversion, spot gold traded at $ 1,783.39 an ounce, close to a seven-week high on Monday.

Reporting by Stanley White; Editing by Lincoln Feast and Kim Coghill

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