The US markets settled deeply in red on Monday on worries about the ongoing war between Russia and Ukraine. Further, the coronavirus outbreak also weighed on the markets. The weakness on markets also came amid a continued increase in treasury yields, with the yield on the benchmark ten-year note reaching its highest levels in three years. Besides, weakness in the overseas markets carried over onto Wall Street amid concerns about the outlook for monetary policy and the global economy. Meanwhile, Energy stocks helped to lead the markets lower amid a steep drop by the price of crude oil. Crude for May delivery tumbled $3.97 to $94.29 a barrel amid concerns about the outlook for demand.
Reflecting the weakness in the energy sector, the NYSE Arca Oil Index plunged by 3 percent and the Philadelphia Oil Service Index plummeted by 2.8 percent. Significant weakness was also visible among biotechnology stocks, as reflected by the 2.5 percent drop by the NYSE Arca Biotechnology Index. Semiconductor, healthcare and retail stocks also saw notable weakness, while airline stocks were among the few groups to the downtrend.
Dow Jones Industrial Average dropped 413.04 points or 1.19 percent to 34,308.08, Nasdaq fell 299.04 points or 2.18 percent to 13,411.96 and S&P 500 was down by 75.75 points or 1.69 percent to 4,412.53.
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