The ASX 200 (INDEXASX: XJO) was very volatile today because of the coronavirus.
It started today with another fall of almost 3%. But by the end of the day the ASX 200 only finished down by 0.8%, meaning it recovered by around 2% between midday and the close of trade.
Why was the ASX so volatile today?
The coronavirus spread further over the weekend with deaths in Australia and the US. Italy continued to see cases rise, the Louvre in Paris closed, the news keeps coming. But investors are looking to the Reserve Bank of Australia (RBA) to save the week with a rate cut tomorrow and perhaps the US Fed will cut too.
The ASX still ended in the red, but the rout has at least been slowed to a 'normal' decline of less than 1%, rather than another shocker.
Property prices rose again
Nationally, in February house prices grew by another 1.1%. Sydney house prices went up 1.7% and Melbourne house prices grew 1.2%.
Melbourne, Brisbane, Adelaide, Hobart and Canberra are now at their all-time high prices. However, Sydney is still 3.7% below its all-time high whilst Perth and Darwin are 21% and 32.7% lower than their peak prices.
Property businesses still saw red because of the market decline, but some of them perked up after the CoreLogic numbers were released.
The REA Group Limited (ASX: REA) share price finished 1.4% lower and the Domain Holdings Australia Ltd (ASX: DHG) share price declined 2.8%, but the Mcgrath Ltd (ASX: MEA) share price ended flat – which is fairly good on a day like today.
Mixed returns
It still was a rough day for some resource businesses like Fortescue Metals Group Limited (ASX: FMG) which dropped 9% and Resolute Mining Limited (ASX: RSG) which fell almost 8%.
However, at the opposite end of the ASX we had shares like logistics software business WiseTech Global Ltd (ASX: WTC) seeing a share price rise of 12.7% and tech company Appen Ltd (ASX: APX) went up 7.1%.
