Dow plummets 615 points amid growing fears of another virus lockdown

trader nyse worried chart
  • Stocks started the week off significantly lower amid a flurry of reports over weekend that ranged from rising COVID-19 daily cases to alleged money-laundering at big name banks across the globe.
  • Political uncertainty is on the rise as the US approaches its November Presidential Election, and following the passing of Supreme Court Justice Ruth Bader Ginsburg.
  • Watch major indexes update live here.

US stocks tumbled on Monday as investors grappled with a range of headwinds including rising COVID-19 daily cases, a possible “mini lockdown,” and alleged money-laundering at big name banks across the globe.

Political uncertainty continues to be front and center for investors amid the upcoming November Presidential Election, and is likely heightened following the passing of Supreme Court Justice Ruth Bader Ginsburg.

Here’s where US indexes stood shortly after the 9:30 a.m. market open on Monday:

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Reports from the UK suggest that another lockdown due to rising cases of COVID-19 is not out of the question, as Prime Minister Boris Johnson considers the option to act as a “circuit breaker” against the virus.

Bank stocks around the world are trading lower this morning following a Buzzfeed report that exposed $2 trillion in suspicious transactions by banks which allegedly enabled money laundering by networks of criminals. 

Bank of America, Wells Fargo, Citigroup, and JPMorgan all traded sharply lower on Monday.

ByteDance, the owner of TikTok, is reportedly seeking a valuation for its popular social media app of as much as $60 billion, according to Bloomberg.

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The IPO market still remains open following the successful trading debut of tech names like Snowflake and JFrog last week. Jack Ma’s Ant Group is targeting to raise $35 billion in its upcoming IPO debut, which would make it the largest IPO ever, according to Bloomberg.

Gold fell as much as 2%, to $1,911.75 per ounce, remaining in a narrow trading range between $1,900 and $2,000. Both Treasury yields and the US dollar gained ground.

Oil prices slid as investors continue to weigh reports of a potential supply glut and lower demand heading into the fall. West Texas Intermediate crude fell as much as 2.9%, to $39.94 per barrel. Brent crude, oil’s international benchmark, decreased 2.6%, to $42.05 per barrel, at intraday lows.

Read more: An ex-Wall Street chief strategist says the market’s comeback has made most investors ‘blissfully unaware’ of its real risks – and lays out 6 reasons why another free-fall is on the cards

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