Stocks post worst day in more than month amid surging coronavirus cases

Nancy Dillon, New York Daily News
·2 min read

The stock market suffered its biggest selloff in nearly two months Monday as investors wrestled with worries over surging COVID-19 infections and the ongoing lack of a new stimulus package.

The Dow Jones Industrial Average ended the day down 650 points – its biggest drop since the first week of September – after cratering nearly 1,000 points in early trading before clawing back some of the lost ground.

The S&P 500, a benchmark gauge, was down 2.9% at one point before ending the day down 1.9%.

“It’s kind of a perfect storm,” Ross Mayfield, investment strategy analyst at Baird, told the Associated Press.

“The record case numbers and the kind of rolling lockdowns across Europe are getting the headlines. Oil is down on some supply and demand issues. Stimulus seems more and more unlikely by the day, at least pre-election,” he said.

Travel and energy stocks were some of the hardest hit. United Airlines tanked 7% while American Airlines, the world’s largest carrier, skidded 6.4%. Overseas markets were also lower.

Coronavirus counts are spiking again in much of the United States and Europe, raising concerns about more damage to still-weakened economies.

And while House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin spoke last week about a possible deal on new stimulus cash, hope seemed to fade Monday amid concerns a messy election could draw focus and hamper negotiations.

Among Wall Street’s few gainers were companies that aren’t dependent on an end to the pandemic or any government bailout.

The maker of the Zoom video conferencing technology ended the day up $6.27 a share at $517.79.

———

©2020 New York Daily News

Visit New York Daily News at www.nydailynews.com

Distributed by Tribune Content Agency, LLC.