The Dow Jones Industrial Average fell 602 points on Monday after a big decline in Apple shares, a rise in the USA dollar and lingering worries about global trade weighed on investor sentiment.
Apple shares fell 5 percent after several suppliers to the company, including Lumentum Holdings Inc, whose components power the iPhone's Face ID technology, cut their forecasts.
Also improving the market's direction was a rebound in technology stocks, which jumped 0.7%, to recover from a steep sell-off on Monday when Apple shares took a hit on worries about a slowdown in sales of iPhones.
At the close of regular trading, the DJIA - the main indicator for U.S. stocks - had lost 602.12 points, coming to rest at 25,387.18, while the Siamp;P500 index fell 1.97 percent to 2,726.22 and the NASDAQ index - which includes the important tech companies - dropped 2.78 percent to 7,200.87, Efe reported. On Wall Street, the futures for the Standard & Poor's 500 and for the Dow Jones Industrial Average were both up 0.6 percent. On Monday, along with sharp losses for the Dow, the S&P and Nasdaq Composite fell 2% and 2.8%, respectively. The Russell 2000 index of smaller companies gave up 30.70 points, or 2 percent, to 1,518.79. The Standard & Poor's 500 technology sector, a major driver of the long bull run in stocks, fell 3 percent.
At the time of writing, the Dow was off 67 points at 25,320, held back by Boeing, Exxon Mobil, Pfizer and Walmart Inc. Shares of Align Technology and NVIDIA slid 7.91 percent and 7.84 percent, among the worst performers in the Nasdaq. Germany's DAX lost 1.8 percent and France's CAC 40 fell 0.9 percent. Goldman Sachs' shares fell by 7.46%, adding onto the sharp overall market decline. Visit MarketWatch.com for more information on this news.
After a weekend meeting, the oil cartel announced that Saudi Arabia plans to reduce exports by around 500,000 barrels a day from November to December. Bond markets were also closed. USA crude rose 60 cents to $60.79 a barrel, the first increase after the longest stretch of daily declines since 1984.
Japan's Nikkei ended the day up 0.1 percent. The euro rose to $1.1252 from $1.1218.
The S&P 500 index fell 16 points, or 0.6 percent to 2,764.
The Toronto Stock Exchange held up slightly better, off about half a per cent to 15,290.The main reason for the comparative strength of Canada's biggest stock market was oil, which weighs heavily on the TSX's performance.
Hong Kong's Hang Seng closed the day up 0.1 percent.