Energy stocks are inciting another Wall Street sell-off as the price of crude continues to plummet. US crude fell below $28 a barrel in New York on Wednesday – a sure sign that the global economy is grinding to a halt.
Gas and oil stocks fell further than all other stocks in early trading. Chesapeake Energy suffered an 8% fall and Devon Energy sank 7%. After another drop in revenue, the already-struggling tech giant IBM fell 6%.
Many believe today’s dropping energy prices herald a poor future for global economies.
Meanwhile, the DJIA lost 1.8% (280 points), falling to 15,731. The Nasdaq composite fell 1.4% (74 points) and the Standard & Poor’s 500 index dropped by 1.7% (31 points).