Dow futures plunge 1,000 points, crude prices tumble on oil price war

Dow futures plunge 1,000 points, crude prices tumble on oil price war


Asian stock markets and U.S. futures tumbled again Sunday evening following a sharp drop in crude prices, rattling investors who were already grappling with economic disruptions from the coronavirus outbreak.

Dow futures plunged 1,000 points and Standard & Poor’s 500 futures dropped 4.2%. Stocks in Asia plummeted, with Japan’s Nikkei 225 sliding 3% while Australia’s S&P/ASX 200 shed 5%. 

Bond yields, meanwhile, slumped to new unprecedented lows. Global markets have endured multiple roller coaster weeks following uncertainty over how much damage the deadly virus will do to the global economy.

Investors were spooked further Sunday after oil prices dropped 20% following Saudi Arabia’s decision to cut its export oil prices over the weekend, a move that has sparked concerns over a global oil price war, analysts say. 

Saudi Arabia’s move came after OPEC failed to strike a deal with its allies on a cut to oil production. An agreement would have contained the plunge in the price of crude caused by the virus outbreak’s disruption to world business, analysts say. 


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