The stock market is getting used to living in a coronavirus period.

The resumption of work at Chinese enterprises pushed the American stock indexes up on Monday, although concerns about the negative impact of the epidemic on the global economy remained. Apple Inc. shares (AAPL) dipped 0.1%, putting pressure on all three major indices, as analysts predict smartphone sales in China could fall by as much as 50% in the first quarter due to store closures and suspension of production after the outbreak of the virus. The head of the World Health Organization (WHO), Tedros Adhan Gebreyesus, said that thousands of cases of the virus in the Chinese city of Wuhan, the epicenter of the new coronavirus epidemic, are probably "just the tip of the iceberg." He also warned of a possible increase in the spread of the disease outside of China. Chinese President Jinping said that the situation with preventing an outbreak of coronavirus is still difficult. He also promised to take more drastic measures to curb the spread of coronavirus and accelerate the development of drugs against it.

On Tuesday, there was practically no change in the dynamics of the stock market. The main attention of market participants was focused on the speech of Fed Chairman Jerome Powell in Congress. Speaking to the House of Representatives Financial Services Committee, Powell said the Fed "is closely monitoring the emergence of coronavirus, which could lead to disruptions in China that extend to the rest of the global economy." Answering questions of the lawmakers, he also said it was “too early to say” how coronavirus would ultimately affect the US economy. Nevertheless, the head of the Fed rather optimistic about the prospects for the American economy and made it clear that he sees no reason for changing monetary policy if new events do not lead to a “significant revaluation” of the current Fed forecast.

The next day, the indices went up: investors reacted positively to Powell's statement. In addition, the rate of spread of coronavirus in China has slowed to the lowest rate since early January.

Optimism turned out to be premature, on Thursday new data came from the National Health Commission of China. According to which the number of deaths from the new coronavirus increased by 254 to 1367, while the number of cases increased by 15 152 to almost 60 thousand people. The sharp jump in new cases of the virus, the growth rate of which, as reported, showed a slowdown in the last few days, is partially due to the new diagnostic procedure. Pressure on the market was also exerted by Cisco shares (CSCO), which fell 5.23% after the company's quarterly reports revealed a continuing decline in revenue.

At the end of the week, the market saw a predominant growth, as investors analyzed mixed economic data. According to the Department of Commerce, US retail sales rose in January for the fourth consecutive month, as cheaper gas station prices encouraged Americans to spend on other goods, emphasizing stable consumer spending. According to the report, total sales grew by 0.3% after an increase of 0.2% last month. In turn, the Fed said that industrial production in January fell by 0.3% after falling by a revised 0.4% in December (-0.3% in the first estimate), because off-season warm weather hampered the production of public services, and Boeing Co . (BA) has slowed the production of civilian aircraft due to the ban on its 737 MAX aircraft. Meanwhile, a University of Michigan report found an unexpected improvement in consumer sentiment in the US in February. Preliminary data showed that the consumer sentiment index in February rose to 100.9 from a final January value of 99.8. This growth surprised economists who expected the index to drop to 99.5. The unexpected increase in the general index occurred against the backdrop of an improvement in the sub-index of consumer expectations - up to 92.6 from 90.5 in January. Nasdaq was also supported by Nvidia Corp. (NVDA), which soared 7.19%, as the company's quarterly results / forecasts exceeded market estimates, reinforcing expectations for the recovery in demand for chips.

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