Wall Street followed European bourses sharply lower on fears that rising coronavirus infections will dampen business activity and as hopes for pre-election fiscal relief in the US dimmed.
The US S&P 500 index fell as much as 2.9 per cent in afternoon trading on Monday, before trimming its losses to trade 2.1 per cent lower, as the latest infection data undercut hopes of the virus being contained.
The sell-off was broad, with economically sensitive sectors like energy, financials and industrial groups under pressure. Travel and leisure companies sustained heavy selling.
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