Stocks tumble on new coronavirus variant fear

Stocks tumble on new coronavirus variant fear

NEW YORK: U.S. stocks closed lower on Friday, with the Dow and S&P 500 suffering their biggest one-day percentage drops in months, and pandemic-hit sectors that had gained from a reopening falling sharply after a new coronavirus mutation was found.

Authorities worldwide reacted with alarm on Friday to the coronavirus variant found in South Africa, with the European Union and Britain among those tightening border controls as researchers sought to establish if it was vaccine-resistant.

Cruise operators Carnival Corp, Royal Caribbean Cruises and Norwegian Cruise Line each plunged more than 10%, while shares in United Airlines, Delta Air Lines and American Airlines also tumbled. The NYSE Arca Airline index fell 6.45% in its biggest one-day percentage decline since September 2020.

Retailers dropped 2.04% as Black Friday kicked off the holiday shopping season with worries that the new variant would depress store traffic and curb supply.

Selling was broad, with big declines of more than 1% in all 11 major S&P sectors except healthcare, which fell just 0.45% thanks to COVID-19 vaccine makers Pfizer Inc rising 6.11% to close at a record high of $54, and Moderna Inc jumping 20.57%. - Reuters

https://www.thestar.com.my/business/business-news/2021/11/27/stocks-tumble-on-new-coronavirus-variant-fear