Global shares rebound as China markets stabilize

World markets bounced on Tuesday (February 4), reversing some of a previous plunge.

Anxiety over the coronavirus had erased some $400 billion in market value from Shanghai's benchmark index on Monday (February 3).

A day later the Shanghai Composite closed up 1.3% and Hong Kong's Hang Seng rose 1.2%.

In an effort to stem losses, China's state-backed Securities Times called on investors not to panic.

But on Tuesday the outbreak continued to generate unnerving headlines.

Hong Kong reported its first coronavirus death - the second fatality outside mainland China - as the overall death toll topped 400.

Efforts to contain the virus have led to empty streets and subways in China's capital.

Airlines around the world have stopped flights to parts of China, while travel within the country is increasingly being restricted, prompting fears of wider economic disruption.

European shares followed Asia higher though, extending their recovery after last week's selloff.

The pan-European STOXX 600 index was up over 1% in early trade, having ticked up slightly on Monday after logging its worst week in six months.

In commodity markets, oil prices clawed back ground.

That's amid hopes for new output curbs from OPEC and its allies to offset any drop in fuel demand triggered by the coronavirus outbreak.

International benchmark Brent gained as much as 0.8%, while U.S. crude was up over a percent.