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Stocks mixed on Monday – Increased pandemic deaths and new lockdowns in China dampen markets – Disney soars as ex-CEO Bob Iger returns – FTX says it owes creditors $3.1 billion
US stocks opened mixed on Monday. The market was down on news out of China but buoyed by Disney as Wall Street began a holiday-shortened trading week.
The S&P 500 dipped 0.2%; however, the Dow Jones Industrial Average rose slightly, adding roughly 80 points, or 0.3%, while the technology-heavy Nasdaq Composite sank 0.4%, Yahoo Finance reported.
Oil edged lower, with West Texas Intermediate (WTI) crude futures below $80 per barrel on Monday morning.
The benchmark 10-year U.S. Treasury was down 0.27% at 3.791%, while the 2-year gained 0.019 percent to yield 4.52 percent, CNBC reported.
The US dollar gained against other currencies.
The collapse of FTX continues to permeate into other crypto markets. Bitcoin sank 3% to hover near $16,000, and Ethereum plummeted 5% to just above $1,100.
Markets are reacting to the news today, moving US stocks mostly lower early on Monday as Asian and European markets took losses amid a new round of pandemic lockdowns in China that rattled investors, Yahoo reported.
China locked down a key transportation hub in the south as the nation takes on its largest nationwide Covid outbreak since April, CNN reported. The lockdown follows rising cases in Beijing, which reported the country’s first Covid deaths in nearly six months.
The Hang Seng (HSI) Index plummeted as much as 3.4% in morning trading, closing down 1.9%, while mainland China’s Shanghai Composite Index lost 0.4%.
Shares of Disney (DIS) roared 9% to start in early trading after the media giant made a surprise announcement late Sunday that former chief executive Bob Iger will return to lead the company as CEO, effective immediately, Yahoo reported. Disney’s rally buoyed the Dow, while the S&P 500 and NASDAQ moved lower.
Iger replaces Bob Chapek, who was named CEO in February 2020. The move brings to an end a brief, tumultuous tenure under Chapek, CNBC reported.
In a court filing on Saturday, Cryptocurrency exchange FTX admitted that it owes its 50 largest creditors nearly $3.1 billion. Without naming its creditors, FTX said in the filing for U.S. Bankruptcy Court protection that it owes about $1.45 billion to its top ten creditors, CNN reported. FTX has left an estimated $1 million customers and other investors facing billions of dollars in losses.
