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China 5-yr CDS rise 10% to near 2-week high on virus fears

Jan 21 (Reuters) - Chinese debt insurance costs rose on Tuesday, after authorities confirmed a new strain of coronavirus could be spread through human contact, causing fears of economic damage at a time when growth is already slowing.

Chinese state media reported that there had been 291 cases of patients infected with the virus as of Jan. 20.

Data from IHS Markit showed five-year credit default swaps up three basis points versus Monday’s close to 33 bps, the highest in nearly two weeks.

The fears have rippled across Chinese and Asian markets, with the yuan down around 0.6% versus the dollar and Chinese stocks tumbling 1.4% . (Reporting by Sujata Rao; editing by Marc Jones)