Stock Markets Trade Weakly on Renewed Pessimism

Stocks begin the week on a down note, with global shares mixed.

Global markets traded mixed to lower on Monday, as news of the coronavirus outbreak's relentless spread overcame signs of progress in some of the hardest-hit countries.

European markets opened mixed after a largely muted trading day in Asia, despite a big stock rally in the United States on Friday. Futures markets were predicting Wall Street would slump when it opens.

The United States appeared to make progress in stabilizing its response. Lawmakers said they were nearing a deal for a new support package for small businesses, and President Trump said the authorities would step up testing. But protests in some states against the lockdowns underscored the economic damage that many households are suffering, in the United States and around the world.

Underscoring the unease, prices for U.S. Treasury bonds rose, suggesting investors were putting their money in safer havens. Oil prices whipsawed, as futures contracts expired at a time of weakening demand for oil.

In other markets, Hong Kong's Hang Seng index was trading 0.2 percent higher. In mainland China, where the authorities on Monday extended interest rate cuts to more parts of the economy, the Shanghai Composite index rose 0.5 percent.

In South Korea, the Kospi index fell 0.8 percent. In Australia, the S&P/ASX 200 index was down nearly 2.5 percent.

 In London, the FTSE 100 index was lower early, then traded 0.5 percent higher. France's CAC 40 index was up 0.3 percent. In Germany, the DAX index was up 0.7 percent.