DOW SINKS OVER COVID-19 RUNNING WILD IN US, CHINA
Volatility has returned to the stock market, as the United States and China grapple with new coronavirus outbreaks. It's a sign that the pandemic isn't done wreaking havoc on the global economy, wrote Clare Duffy, Laure He, Jill Disis and Anneken Tappe for CNN Business late on June 15, 2020.
US stocks tumbled at the opening bell in New York, but they managed to pare some of their losses halfway through the morning. The Dow declined 360 points, or 1.4%, after falling as much as 762 points at its lowest. The S&P 500 dropped 1.1%, and Nasdaq Composite slipped 0.6%.
Stocks have been climbing over the past weeks, driven up by hopes for the reopening of the economy. Now, the high equity valuations paired with negative headlines are a real hit to confidence, according to Seema Shah, chief strategist at Principal Global Investors.
Oil prices moved lower, also pushed down by concerns about a virus resurgence that could lead to lower demand. US oil prices tumbled more than 2% to $35.52 a barrel. Brent, the global oil benchmark, slipped 0.8% to $38.43 per barrel.