Omicron Fears Dominate, Stocks Slide to Begin Week

The major averages fell on Monday as investors continued to grapple with the resurgence of COVID cases spurred from the newfound omicron variant.

The Dow Jones Industrials came off its lows of the day, but still lost 433.28 points, or 1.2%, to end Monday at 34,932.16, dragged down by losses in Boeing, Goldman Sachs and American Express.

The S&P 500 index subtracted 52.62 points, or 1.1%, to 4,568.02.

The NASDAQ deleted 188.74 points, or 1.2%, at 14,980.94.

Caterpillar, Boeing and General Electric all lost ground on Monday. The aircraft maker was off by 2.2%. Caterpillar headed down 2.9% and GE fell 1.5%.

Reopening plays were among the biggest losers once again on Monday. Las Vegas Sands shed 3.6%, Alaska Air Group doffed 1.4%, and Southwest fell 0.8%. Darden Restaurants also lost 1.3%.

Energy stocks also dipped as U.S. oil prices dropped more than 5%. Devon Energy slid 2.4% and Exxon Mobil shed 1.5%.

Financials were in the red with Goldman Sachs down 2.7% and Wells Fargo down 2.3%. JPMorgan withered 1.8% and Bank of America dropped 1.6%.

The omicron variant is raging across the world as the winter holiday season approaches. The strain has been found through testing in 43 out of 50 U.S. states and around 90 countries, and the number of cases is doubling in 1.5 to three days in areas with community transmission, the World Health Organization (WHO) said on Saturday.

U.S. cases are jumping into year-end with more than 156,000 reported on Friday, according to CDC data.

Prices for 10-year Treasurys lost some strength, raising yields to 1.43% from Friday’s 1.41%. Treasury prices and yields move in opposite directions.

Oil prices dropped $2.20 to $68.66 U.S. a barrel.

Gold prices slid $15.70 to $1,789.20 U.S. an ounce.