(AmericanProsperity.com) – The Dow dropped over 2,000 points on Monday morning as oil crashed over a price war between Russia and Saudi Arabia, and the coronavirus spread impacted transportation and energy stocks.
In the opening moments of trading, the Dow dropped nearly 8% by 2,046 points. The drop was so quick, trading was halted for 15 minutes for a cooling-off period.
What does a halt in trading at the NYSE mean? @BobPisani speaks with @NYSE President Stacey Cunningham and explains the history of market circuit breakers. Follow the latest markets news here: https://t.co/kOyx3C3nf5 pic.twitter.com/UeXajMYvGr
— CNBC (@CNBC) March 9, 2020
The S&P 500 and Nasdaq Composite opened lower as well at 7.4% and 7.3%, respectively.
After Russia refused to cut oil production, Saudi Arabia responded, saying it plans to slash its crude prices between $4 and $8 per barrel and increase production — setting off an oil war. On Friday, the West Texas Intermediate closed around 44 points — at 11:19 am on Monday morning, oil was trading at $34.03, and at one point during the morning, it was as low as $27.43 per barrel.
In Coronavirus news, National Institute of Allergy and Infectious Disease Director Dr. Anthony Faci told Americans with underlying health issues to avoid air travel and cruises — causing steep selloffs in airline and energy stocks.
~Here’s to Your Prosperity!
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