BUSINESS US stocks plunge amid fears of second virus wave

BUSINESS

US stocks plunge amid fears of second virus wave

Xinhua

23:00, June 11, 2020

stock.jpeg

File photo: AP

NEW YORK, June 11 (Xinhua) -- U.S. stocks plunged on Thursday as Wall Street grew concerned over risks of a second wave of virus infections.

Shortly after the opening bell, the Dow Jones Industrial Average shed 904.86 points, or 3.35 percent, to 26,085.13. The S&P 500 decreased 87.68 points, or 2.75 percent, to 3,102.46. The Nasdaq Composite Index was down 227.59 points, or 2.27 percent, to 9,792.76.

Shares of airlines, cruise lines and retailers traded sharply lower.

The moves came after coronavirus cases increased in some U.S. states that are reopening after lockdowns.

More than 2 million confirmed COVID-19 cases have been reported in the United States, with nearly 113,000 deaths as of Thursday morning local time, according to the Center for Systems Science and Engineering at Johns Hopkins University.

Investors also digested the U.S. Federal Reserve's (Fed's) latest monetary policy and its grim forecast for the economy.

The Fed on Wednesday kept its benchmark interest rate unchanged at the record-low level of near zero amid mounting fallout from the COVID-19-induced recession, and indicated interest rates would remain at the current level through at least 2022.

On the data front, U.S. initial jobless claims registered 1.542 million in the week ending June 6, as the pandemic continues to weigh on the labor market, the Department of Labor reported on Thursday. The previous week's level was revised higher to 1.897 million.

Related Stories

Terms of Service & Privacy Policy

We have updated our privacy policy to comply with the latest laws and regulations. The updated policy explains the mechanism of how we collect and treat your personal data. You can learn more about the rights you have by reading our terms of service. Please read them carefully. By clicking AGREE, you indicate that you have read and agreed to our privacy policies

Agree and continue