(MENAFN- Baystreet.ca) Dow on Pace for Worst Selloff Since July
U.S. stocks began the week deeply in the red as investors continued to move to the sidelines in September amid several emerging risks for the market.
The Dow Jones Industrial Average thundered lower 509.16 points, or 1.5%, to 34,075.72, set for its biggest one day drop since July 19.
The S&P 500 suffered 73.6 points, or 1.7%, to 4,359.60.
The NASDAQ Composite dwindled 324.81 points, or 2.2%, to 15,715.84.
COVID cases because of the delta variant remain at January levels as colder weather approaches in North America.
September has the worst track record of any month, averaging a 0.4% decline, according to the Stock Trader's Almanac. History shows the selling tends to pick up in the back half of the month.
Investors are also concerned about brinkmanship in D.C. as the deadline to raise the debt ceiling approaches. Congress returned to Washington from recess rushing to pass funding bills to avoid a government shutdown.
Stocks linked to global growth were down the most Monday. Ford and Carrier Global lost more than 3%. General Motors and Boeing fell about 2% each. Nucor steel shed 2.8%
Energy stocks tumbled as WTI crude oil fell 2% on concerns about the global economy. Occidental Petroleum, Hess and Devon Energy were among the biggest losers.
Prices for 10-Year Treasurys subsided, raising yields to 1.33% from Friday's 1.30%. Treasury prices and yields move in opposite directions.
Oil prices fell $1.21 to $70.77 U.S. a barrel.
Gold prices gained $14.20 to $1,765.8 U.S. an ounce.
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