Global economy could catch cold from China's virus problems

US stocks surged last week as fears of a global pandemic from the novel coronavirus eased slightly, but there is a good chance of more volatility this week as US Federal Reserve chairman Jerome Powell testifies to Congress about the economic threat stemming from the virus.

The weekly gains moderated last Friday when Mr Powell issued a written preview, warning that an epidemic - even if contained in China - could have "spillover effects" on the global economy.

After a major rout a week earlier, stocks had one of their best two-day runs of the bull market at the start of last week.