Global Stocks, Oil Prices Plunge on Issues Over New Covid-19 Variant

Source: The Wall Street Journal

Stocks, oil prices, and government bond yields plunged after South Africa increased concern over a fast-spreading variant of the COVID-19. CSI 300 Index down -0.74%, EUR USD up +0.96%

• The S&P 500 opened nearly 1.4% lower as the Dow Jones Industrial Average fell 2.3% in the early trading session.
• Brent crude plunged 5% to below $77 per barrel, placing the global energy benchmark on track for its largest one-day loss since July. Bitcoin plunged 8% to below $55,000.
• Investors started shifting their assets to safe-haven assets, pushing down the yields on 10-year Treasury notes to 1.532% from 1.644% before the break for Thanksgiving.
• Gold, an indicator of storing value when riskier assets plunge, expanded over 1% to $1,804.70 a troy ounce.
• The pullback led to a crack for markets that had reserved concerns about the new strain of coronavirus.