Stocks rise as central banks vow to tackle coronavirus spread

Share prices in Asia have risen after Japan’s central bank promised to help protect markets from the impact of the coronavirus.

On Friday the US Federal Reserve made a similar pledge to stop more big falls on the world’s financial markets.

Japan’s benchmark Nikkei 225 was 1.2% higher, the Hang Seng in Hong Kong was up by 0.8% and China’s Shanghai Composite was 3.1% higher.

In a rare emergency statement, Bank of Japan (BOJ) Governor Haruhiko Kuroda said the central bank would take necessary steps to stabilise financial markets: “Overseas and domestic financial markets continue to make unstable movements due to heightening uncertainty over the impact on the economy from the spread of the coronavirus.”

“The BOJ will monitor developments carefully, and strive to stabilise markets and offer sufficient liquidity via market operations and asset purchases,” he added.

On Sunday the World Health Organization’s director-general, Tedros Adhanom Ghebreyesus warned global markets over panicking and the need to “calm down” and “see the reality.”