Wall Street opens in red and the Dow Jones falls 2.31% weighed down by oil



Wall Street opened Tuesday lower and the Dow Jones Industrials, its main indicator, fell 2.31% amid the historic fall in oil prices in the United States as a result of the crisis of the new coronavirus.

Five minutes after the start of operations on the New York Stock Exchange, the Dow Jones lost 546.12 points, down to 23,104.32, while the selective S&P 500 left 1.89% or 53.26 units, up to 2,769 , 90.

For its part, the Nasdaq composite market index, on which the main technology groups are listed, fell 1.47% or 126.25 units, to 8,434.47.

Investors looked closely at the unprecedented plunge in the price of crude, which caused this Monday, for the first time in history, future Texas intermediate oil (WTI) contracts to drop below zero, with sellers willing to pay. to “buyers” in order to get rid of their assets by May due to lack of physical storage capacity.

This Tuesday, contracts for delivery in May continued to be negative, while those for June, those with the highest trading volume, suffered a decrease of nearly 30% at the start of operations.

The price of oil has been a victim in recent weeks of the huge drop in demand as a result of the economic downturn decreed to combat the coronavirus and the agreements of the producing countries to reduce the supply have been clearly insufficient at the moment.

Energy companies led losses on Wall Street, with a drop of around 4%, followed by financial companies, around -3%, with all sectors in the red.

The two major oil companies listed on the Dow Jones, Exxon Mobil and Chevron, suffered clear losses at the opening, leaving 3.23% and 4.75%, respectively.

However, they were not the worst ranked companies among the thirty values ​​in this index, as IBM (-6.22%) and Travelers (-4.84%) registered even greater declines.

At this time, the entire Dow Jones was in the red, with the lowest losses for Apple, which was 0.14%.

In other markets, gold fell to $ 1,679.2 an ounce, the yield on the 10-year Treasury bond fell to 0.55% and the dollar lost ground against the euro, with a change of 1,084.

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