Wall Street opens lower, Coca-Cola stands out, Corporate news

PARIS, April 25 (Reuters) – The New York Stock Exchange opened sharply lower on Monday as developments in China’s COVID-19 outbreak stoked fears of an economic slowdown among investors already worried about rising interest rates. ‘interest.

A few minutes after the start of trading, the Dow Jones index lost 195.92 points, or 0.58%, to 33,615.48, the Standard & Poor’s 500 fell 0.66% to 4,243.5 and the Nasdaq Composite gave up 0.26% to 12,806.20.

The VIX volatility index, a closely followed barometer of investor nervousness, is at its highest since March 16.

China’s major stock indexes suffered their worst decline since February 2020 on Monday and European stocks fell more than 1% as markets feared Chinese authorities would lock down parts of Beijing in an attempt to curb the spread of COVID-19.

This risk, which would necessarily slow down the world’s second largest economy, weighs on the prices of oil and many raw materials, among other things, as well as on the values ​​of these two sectors, such as Chevron (-3.70%) or Dow (-1, 47%).

Fears for China and the prospect of an accelerated hike in the Federal Reserve’s key rates from next week are all the more reason for investors to be cautious as the week which begins will be one of the busiest of the quarter. in results publications. On the agenda for the next few days are heavyweights such as Apple, Amazon, Microsoft and Alphabet, among others.

Among the companies that published before the opening, Coca-Cola gained 2.25%, benefiting from a turnover above expectations.

In M&A news, Twitter is up 3.56% to $50.67 after reports it is set to accept Elon Musk’s $54.20 buyout offer.

(Written by Marc Angrand, edited by Jean-Michel Bélot)

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