In European Equity Markets the pan-European Stoxx 600 pared early losses to trade 0.4% lower by the close. Basic resources were the worst performing stocks, falling 1.4%, while financial services edged toward 0.2% gains. UBS shares fell by 5.3% after the Swiss lender missed its key 2019 profit targets and cut its midterm guidance, while steelmaker Evraz shed 5.5%. Hugo Boss shares gained 6% after the German fashion house reported better-than-expected fourth-quarter sales growth.

In Currency Markets China’s yuan tumbled on Tuesday, pulling away from six-month highs against the dollar, while the safe-haven yen rallied as the spread of a pneumonia-like virus in China sparked a sudden bout of risk aversion and rattled world markets. The yuan fell almost 0.7% in offshore trading to 6.9126 per dollar, off Monday’s six-month highs. Onshore, the yuan fell to its lowest in over a week at 6.9094. In contrast, the yen gained 0.15% to 110.05 per dollar.

In Commodities Markets oil prices fell more on Tuesday on expectations that a well-supplied market would be able to absorb disruptions that have cut Libya’s crude production to a trickle. Brent crude was down 37 cents at $64.83 a barrel, having hit a session low of $64.06. U.S. West Texas Intermediate crude was down 20 cents at $58.34, after hitting a low of $57.68 earlier in the day. ING said that spare OPEC capacity, which stands in excess of 3 million bpd, was reassuring the market.

In US Equity Markets stock indexes fell slightly on Tuesday as worries about the fallout from a deadly virus outbreak in China and a gloomy growth outlook from the IMF paused a record-setting rally on Wall Street. The S&P 500 fell 0.23% to 3,322.12 and the Nasdaq Composite .IXIC declined 0.09% to 9,380.87. Hotel and casino operators Las Vegas Sands Corp and Wynn Resorts Ltd, both of which have large operations in China, fell about 5%. Halliburton Co rose 2.2% after the oilfield service provider beat estimates for quarterly adjusted earnings.

In Bond Markets U.S. Treasury prices surged on Tuesday, pushing yields lower as risk appetite dropped, amid worries about the potential fallout from a lethal virus that has broken out in China. U.S. two-year note yields fell to two-week lows, while those on 10-year and 30-year yields slid after rising in the previous two sessions. In morning trading, U.S. 10-year yields fell to 1.776%, from 1.835% late on Friday. U.S. financial markets were closed on Monday for the Martin Luther King, Jr holiday.