New strain of virus causes decrease in U.S. markets

Stocks fell Monday on Wall Street, giving back some of their recent gains, as a new, potentially more infectious strain of the coronavirus in the United Kingdom raised worries that the global economy could be in for even more punishment.

The S&P 500 lost 0.4 percent, it’s second straight decline after climbing to an all-time high on Thursday. The benchmark index pared its loss as the day progressed, however, recovering from a 2 percent drop. Treasury yields mostly fell, a sign that investors are worried about the economy. Crude oil prices fell on worries about disappearing demand.

Thin trading ahead of a holidayshortened week may also be exacerbating moves, analysts said.

News of a new and potentially more infectious strain of the coronavirus has countries around the world restricting travel from the United Kingdom. That has traders worried about the possible economic consequences should it spread to other countries or prove resistant to vaccines being distributed now.

“The market is focused on the restrictions in place in the U.K…. and whether or not this is going to happen in the U.S.,” said Quincy Krosby, chief market strategist at Prudential Financial.

The S&P 500 fell 14.49 points to 3,694.92. The Dow Jones Industrial Average rose 37.40 points, or

0.1 percent, to 30,216.45 after erasing an earlier 423 point loss. The Nasdaq composite slipped 13.12 points, or 0.1 percent, to 12,742.52. The

Russell 2000 small-cap index gained 0.34 points, or less than 0.1 percent, to 1,970.33.