From the Business Desk ... Coronavirus outbreak has wide array of effects

It's hard to pick up a newspaper, read social media or watch the evening news lately without hearing the latest about the spread of coronavirus, a disease that, as of Monday, had sickened more than 71,000 people worldwide and killed close to 2,000, almost all of them in China, where the outbreak originated.

Coronavirus cases have now been reported in 29 countries and territories around the world -- including more than a dozen cases in the United States -- and entire cities in Asia have been quarantined in an effort to stem spread of the disease.

According to economic experts, coronavirus is causing a slowdown of the Chinese economy because of factory shutdowns and disruption of that nation's transportation systems, making it difficult or impossible to ship goods out of the country. If the situation goes on much longer, this could be an issue for U.S. companies that depend on parts supplied by Chinese manufacturers and consumers who buy Chinese-made products directly off of retail shelves in America.

The economic slowdown in China has also had a ripple effect on the demand for crude oil, causing oil prices to drop, which, in turn, has resulted in lower gasoline prices at the pump.

"The nation's gas prices continue to fall to fresh lows as coronavirus fears continue to put a chokehold on oil prices, leading to the fourth-straight weekly decline in the national average," Patrick DeHaan, head of petroleum analysis for GasBuddy, said last week.

A week ago, gasoline prices in Missouri, including the Cape Girardeau area, had fallen to as low as $1.96 a gallon with many stations hovering around the $1.99 mark. By this week, Missouri gas prices had risen an average of 2.8 cents to an average of $2.08 a gallon, but still almost 10 cents a gallon lower than a month ago.

"Oil prices rebounded last week on word that OPEC (the Organization of Petroleum Exporting Countries) members were considering cutting global oil production for several months to offset the decline in demand due to the coronavirus, pushing the national average marginally higher versus a week ago," DeHaan said Monday.

The national average for a gallon of regular unleaded gasoline was $2.43, down more than 12 cents a gallon from a month ago.

Quick hits ...

Construction will start this spring on a new four-story, 103-room Fairfield Suites hotel next door to Zaxby's near Interstate 55 just north of Highway 74 in Cape Girardeau.

Mayson Capital Partners president Jeff Maurer told me last week architectural plans are being finalized for the Marriott-brand hotel, which will be much like the Fairfield Suites in Popular Bluff, Missouri, with an indoor swimming pool and similar amenities.

Jeff said the new hotel should be open by the fall of 2021.

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Speaking of hotels, I'm told the recently-concluded dicamba trial here was a boon for the Courtyard by Marriott, the nearest hotel to the Rush H. Limbaugh Sr. Federal Courthouse. For three weeks the hotel was at or near capacity thanks to reservations from dozens of attorneys and support staff representing all sides of the case as well as media and scores of interested parties from across the country.

The trial, which began Jan. 27, ended Saturday after a jury ruled Monsanto Co. and BASF Corp. are liable for $265 million in actual and punitive damages as a result of dicamba herbicide damage to a Southeast Missouri peach farmer's orchards.

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Construction is on track for Cape Girardeau-based PAJCO to open a second Rally's fast food outlet in Sikeston, Missouri, by the end of the month. The new eatery will be similar to the one PAJCO recently opened in Jackson at the intersection of Jackson Boulevard and South High Street. Last week, PAJCO opened a new Rhodes 101 convenience store in Chaffee, Missouri, at the junction of Highway 77 and Route EE, across the street from a former Rhodes location.

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Word on the street has it a vacant structure at 120 N. Main St. in downtown Cape Girardeau, the former location of Broussard's Cajun Cuisine before the restaurant relocated a few doors south to its current location at 114 N. Main St., could be converted into an Irish pub within the next year or so. Some initial planning for the project is underway. I'll have more on this if and when the project moves forward.

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I've also heard from reliable sources there could be movement very soon on the renovation of the former Kmart building, 11 S. Kingshighway, and relocation of Orscheln Farm & Home to that site. Stay tuned.

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