Early markets: Investors eye Chinese property sector
By Joseph Toppe
15:36, 20 September 2021
The Dow Jones Industrial Average lost more than 500 points Monday as shares retreat amid Chinese property concerns.
Mid-morning, the Dow is 500 points or 1.4% lower, and is on track for its biggest one day drop since 19 July.
Meanwhile, the S&P 500 sank 1.5%, and the Nasdaq Composite lost 1.8%. For the month, all three major US indices are in declines.
Reasons
The Chinese property market took heavy losses Monday as shares of China Evergrande plunged 13% in Hong Kong, helping drag down US and global equities.
Although markets were closed Monday in China for a holiday, the Hang Seng fell more than 3%.
Global selloff in risky assets
Bitcoin, the world’s largest cryptocurrency, is down 8% early Monday to $43,800, after dropping as low as $42,527 over the past 24 hours. Ethereum, the second-largest cryptocurrency, is down 9% to near $3,060.
Meanwhile, smaller crypto coins were also falling, including Cardano, Binance, XRP, Solana, with shares for Polkadot dipping 13% to $29.48.
Early trading gains and losses
Shares for Ford lost over 3%, shares for Carrier Global shed more than 3%, while General Motors and Boeing dropped about 2% each and Nucor steel lost 2.8%.
In energy, shares for WTI crude oil fell 2% on as Occidental Petroleum, Hess and Devon Energy all hit Monday declines.
In assets, the 10-year Treasury yield is down five basis points to 1.325%.