PBoC: Impact of epidemic on China's economy is generally controllable

The impact of the coronavirus outbreak on the Chinese economy is controllable, the People's Bank of China (PBOC) said in a statement on Friday and reiterated that the economy remains resilient.

The PBoC further noted that it will continue with its interest rate reforms and guide financial institutions to increase support to small and medium enterprises. "Will use multiple monetary policy tools and fend off systemic risks," the PBoC concluded. 

Market reaction

These remarks failed to provide a boost to the market sentiment. As of writing, major European equity indexes were down between 3.5% and 5.3%.