(MENAFN- Baystreet.ca) Stocks Tumble on Confirmation of First U.S. Omicron Case
The Dow Jones Industrial Average gave up a 500-point gain and turned sharply negative on Wednesday after the Centers for Disease Control and Prevention confirmed the first case of omicron in the U.S.
The blue-chip index plummeted 461.68 points, or 1.3%, to adjourn Wednesday at 34,022.04
The S&P 500 index lost 53.96 points, or 1.2%, to 4,513.04.
The NASDAQ hurtled earthward 283.64 points, or 1.8%, to 15,254.05.
Stocks dropped from their highs of the session after the CDC reported the country's first case of the new, heavily mutated coronavirus variant called omicron in California. Omicron — first detected last week in South Africa — has been reported in at least 23 countries, according to the World Health Organization.
Travel stocks were the biggest losers following news of the first case on U.S. shores. American Airlines, Delta Air Lines and United Airlines all dropped more than 5% apiece. Boeing lost nearly 3%.
Norwegian Cruise Line Holdings and Carnival got hit by 5% and 4% respectively. Wynn Resorts, Hilton Worldwide fell 2%.
Stocks wrapped up a volatile month of trading on Tuesday. The Dow lost 3.7% for its second month of losses in three. The S&P 500 fell 0.8%, while the NASDAQ gained 0.25% in November.
Still, the major averages are up solidly for the year. The Dow is up 12.7% and the S&P 500 is up 21.6% in 2021. The NASDAQ is up an impressive 20.6% this year.
ADP's private payroll data for November showed 534,000 jobs added in November, above expectations of 506,000
Elsewhere, November's IHS Markit manufacturing Purchasing Managers Index came in at 58.3, lower than expected. October construction spending also rose slower than expected, but there was a positive historical revision to help offset the miss.
Prices for 10-year Treasurys regained ground, lowering yields to 1.42% from Tuesday's 1.44%. Treasury prices and yields move in opposite directions.
Oil prices dropped $1.03 to $65.15 U.S. a barrel.
Gold prices moved forward $4.40 to $1,780.90 U.S. an ounce.
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