Dow slumps 905 points, investors fear for coronavirus in South Africa

The Dow Jones Industrial Average fell 905.04 points, or 2.53%, to 34,899.34. The S&P 500 fell 2.27% to 4,594.62 and the Nasdaq fell 2.23% to 15,491.66.

Investors are worried about the news of the Covid-19 virus. A new strain in South Africa called B.1.1.529 is a virus that can circumvent immunity. As a result, the British government has temporarily suspended flights from six African countries: Namibia, Lesotho, Zimbabwe, Botswana, Eswatini and South Africa.

British Health Minister Sajid Javid said: “England needs to take precautions at this time. Starting at noon on Friday, November 26, all six of these countries will be included on the Red List and flights from these six countries will be prohibited. to travel to England temporarily.”

The Israeli government has suspended flights from seven African countries: Namibia, Lesotho, Zimbabwe, Botswana, Eswatini, Mozambique and South Africa.

The Israeli Prime Minister’s Office said in a statement that “Foreigners arriving from these seven countries cannot enter Israel. As for Israeli citizens returning from these countries They will be quarantined in hotels for seven days, even if they have received the full dose of the vaccine.”

The US dollar has weakened against the major currencies today. As investors keep an eye on the spread of the COVID-19 virus new species

By 7:20 p.m. PST, the dollar index, which measures the dollar’s movements against the six major currencies in a basket of currencies, was down 0.51% to 96.28.

At the same time, inflation in the United States has increased. coupled with strong economic data and President Joe Biden’s decision to nominate Jerome Powell as the Federal Reserve’s (Fed) chairman for a second term has led investors to expect the Fed to raise interest rates as early as next year. This has put pressure on US stock markets all week.