Global stocks, oil prices sink as crude exporters squabble

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Global stock markets and oil prices plunged Monday after a squabble among crude producers jolted investors who already were on edge about the surging costs of a virus outbreak.

The main stock indexes in London and Frankfurt dropped by more 8% at the opening. Tokyo closed down 5.1% while Sydney lost 7.3% and Shanghai was off 3%.

In Saudi Arabia, the Riyadh stock exchange suspended trading of state-owned oil giant Saudi Aramco after its share price sank by the daily 10% limit at the opening. In early trading, London's FTSE 100 tumbled 8.6% to 5,910.87 and Frankfurt's DAX shed 8% to 10,616.42. The CAC 40 in France lost 2.7% to 5,001.53.

Tokyo's Nikkei 225 fell to 19,698.76 after the government reported the economy contracted 7% in the October-December quarter, worse than the original estimate of a 6.3% decline. That was before the viral outbreak slammed tourism and travel but after a sales tax hike dented consumers' appetite for spending.The S&P-ASX 200 in Sydney retreated to 5,760.60. The Kospi in Seoul lost 4.2% to 1,954.77.

Apple Inc. says slowdowns in manufacturing iPhones in China will hurt its sales totals. An airline industry group says carriers could lose as much as $113 billion in potential ticket sales. Investors are looking ahead to a meeting Thursday of the European Central Bank, which is widely expected to announce new stimulus measures.

 

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