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US futures and oil plunge as new Covid variant fears slam global markets | St. Louis News Headlines – St. Louis, Missouri

St. Louis, Missouri 2021-11-26 07:25:00 –

Friday’s Dow futures plunged and oil fell more than 6%. New Covid-19 variant A rattling world market.

Hong Kong’s Hang Seng Index fell 2.7%, led by Asian stocks, while Japan’s Nikkei 225 fell 2.5%. The European market is sold out significantly, FTSE100, France’s CAC 40 and Germany’s DAX are all down 2.5% to 3%.

The US market, which was closed on Thursday due to Thanksgiving, was blamed before the start of Friday’s shortened trading session. Dow futures fell more than 800 points (about 2.3%) at 6:45 EST. S & P 500 and NASDAQ futures fell about 1.8% and 1%, respectively.

US oil fell 6.8% to about $ 73 a barrel. Brent crude, the global oil benchmark, was down 6% to about $ 77.

South Africa’s health minister said Thursday that new variants of the coronavirus appear to be spreading rapidly in parts of the country. It has also been detected in Botswana, Hong Kong and Israel.

UK Health Minister Sajid Javid said the variant “may be more contagious” than the Delta strain and “the vaccine we currently have may be less effective.”New strain already British government Ban flights from six African countries. Some EU countries have taken similar steps.

Investors were “surprised” by the discovery of a new Covid-19 variant, Jeffrey Halley, senior market analyst for Oanda’s Asia-Pacific region, said in a research note on Friday.

Economists were already nervously watching the surge in Covid-19 infections in Europe. New restrictions have been introduced to curb spreads in some countries, increasing the likelihood of diminished activity this winter, when inflation and supply chain problems have already clouded growth prospects.

Germany reported 76,414 cases on Friday. This is a new record for the day. The country’s deputy health minister, Jens Spawn, told reporters that the situation in Covid-19 in Europe’s largest economy is “more serious than any other time in a pandemic so far,” if decisive. He warned about “dramatic measures for the next few weeks”. No action has been taken to reduce contact between people.

“Beyond the current wave of infections in core Europe, a new variant of the virus that is rapidly spreading in South Africa raises serious concerns,” a Berenberg Bank economist said in a Friday memo.

“If Germany imposes a national blockade, it would need to lower its GDP forecasts for Germany and the euro area a bit further in the fourth quarter,” they added.

Travel and airline stocks are one of Friday’s biggest dips.

“With the delta wave from earlier this year in mind, investors are likely to shoot first and ask later until they know more about it,” Harry said.

— Rob North and Nadine Schmidt contributed to this article.


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US futures and oil plunge as new Covid variant fears slam global markets | St. Louis News Headlines Source link US futures and oil plunge as new Covid variant fears slam global markets | St. Louis News Headlines

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