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  • Australian stocks plunged more than seven percent Monday, wiping $88 billion off the market in its worst day since the global financial crisis on fears over the spread of the coronavirus and diving oil prices. The benchmark ASX 200 dropped 7.33 percent, or 455.60 points, to close at 5,760.60. Coronavirus has had a limited impact in Australia, but the country's economy is seen as closely integrated with both the United States and China -- two hotspots for the disease. The losses have brought the market back to its lowest level since January 2019, and come amid analyst predictions the country is poised to fall into recession for the first time in three decades. The Australian dollar has shed more than seven percent of its value against the US dollar since the beginning of the year. Australia's central bank last week slashed interest rates to a record low of 0.50 percent in an effort to stave off the impact of COVID-19, while the government has said it will finalise a multibillion-dollar economic stimulus package in the coming days. Monday brought the steepest fall for the Australian share market since October 2008, with major energy producers worst-hit amid a crash in global oil prices. Papua New Guinea-focused Oil Search crashed nearly 35 percent, while Australian oil and gas producer Santos lost almost 27 percent of its value. The travel sector also suffered as the deadly coronavirus outbreak spooked investors, with national airline Qantas losing nearly 11 percent and travel agency Webjet dropping 17.20 percent. It came after the ASX 200 reached an all-time high of 7,197 on February 20 before the current correction began. hr/arb/amj
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  • Australian stocks plunge 7.33% on oil rout, virus fears
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