People enjoy the beach in Leme, south of Rio de Janeiro, Brazil, on June 21, 2020 during the Covid-19 coronavirus pandemic.
CARL DE SOUZA
An increase in coronavirus cases in the United States and Brazil, as well as further outbreaks in Germany, where the reproductive rate of the disease has increased significantly, affect global health professionals, but international financial markets don’t seem too worried.
According to the World Health Organization (WHO), the largest increase in worldwide coronavirus cases was recorded in one day on Sunday. after more than 183,000 new cases were reported worldwide.
Most cases were reported in Brazil with almost 55,000 new infections, followed by the United States. Over 36,000 new cases were reported on Sunday. In the meantime, more than 15,000 new infections have occurred in India, according to the WHO.
It should be noted that an increase in the number of coronavirus cases may be due to increased and more widespread testing and data collection anomalies. The large increase in Brazil in cases on Sunday, for example, was partly due to a delay in reporting from three countries (Bahia, Rio de Janeiro and Sao Paulo), which consisted of two days of data, the WHO noted.
Nevertheless, the increase does not appear to be unique in some cases. In the US more than 30,000 new coronavirus cases were reported on both Friday and Saturday. Infections are increasing in countries in the south, west and midwest.
Still, global markets don’t seem to be too concerned about the rise in coronavirus cases. US equity futures rose early Monday morning after a solid weekly performance on Wall Street. In Asia, stocks were mixed on Monday. European markets opened deeper, but reduced early losses and only decreased 0.1%.
The total number of confirmed cases worldwide since the onset of the outbreak is now close to 9 million, and the death toll is nearly half a million, according to Johns Hopkins University, with 468,331 deaths reported.
Germany’s rising R rate
Even Germany, a country announced as the figurehead for its coronavirus strategy, has seen a rate of reproduction jump to 2.88 on Sunday.
The closely observed “R” rate refers to the number of people who infect an infected person on average. The current R rate in Germany means that 100 people infected with the virus would infect an average of 288 people. Experts want to keep the number of reproductions or R-rate below one in order to slow the spread.
The data from the German health authority, the Robert Koch Institute, are a moving 4-day average that reflects infection rates about a week or two ago. The RKI “is sensitive to short-term changes in the number of cases, such as those caused by individual outbreaks. This can lead to relatively large fluctuations, especially if the total number of new cases is small,” the RKI stated.
The increase in the country’s R rate and new infections (687 were reported on Sunday) reflect localized outbreaks in nursing and retirement homes at several religious communities and schools, as well as an outbreak in a meat processing factory where more than 1,000 employees were tested positive for Covid- 19, the RKI stated.
Germany’s data are sobering as they have been praised for their coronavirus strategy. It implemented early contact tracking and managed to keep the death toll low compared to other countries. There have been 8,895 deaths reported according to Johns Hopkins UniversityDespite 191,272 confirmed cases of the virus – a far lower death rate than among Western European colleagues. For example, France has registered a similar number of cases, just over 197,000, but the death toll is 29,643.
The increase in cases observed worldwide is due to the fact that many countries have lifted a number of restrictions placed on public and business life during the closures.
The International Monetary Fund warned last week that the global economy was on the way to a stronger decline than the 3% it estimated in April.
However, economists are closely monitoring global numbers and weighing their possible impact on a recovery in the global economy.
“Could an increase in new infections force advanced economies to reintroduce locks that are so hard and widespread that they would destroy confidence and disrupt the emerging economic upturn? Four months after the virus hit Europe hard, it remains this is the main risk for watch out for both the economic outlook and the financial markets, “said Holger Schmieding, chief economist at Berenberg, on Monday in a note.
This article originally appeared on www.cnbc.com