European stocks plunged Monday, joining in a selloff in global equities spurred by worries that China’s economy is slowing down more than anticipated. Stoxx Europe 600 dropped 5.3% to close at 342.01. In Frankfurt, the DAX 30 DAX, fell 4.7% to end at 9,648.43, marking the first time since January it’s been below 10,000. In other markets, the U.K.’s FTSE 100 lost 4.7% to 5,898.87 for its biggest loss since March 2009. France’s CAC 30 dropped 5.4% to end at 4,383.46, suffering its worst drop since November 2011.
Oil prices plunged to fresh six-year lows Monday on concerns about a slowdown in Chinese demand and growing crude-oil supplies in the U.S. U.S. light crude closed down $2.21, or 5.5 percent, at $38.24 a barrel, which was the lowest since February 2009. Steep losses last week capped the contract's longest weekly losing streak since 1986.Brent crude was trading down $2.70, or about 6 percent, at $42.80 a barrel, after hitting a session low of $42.51, its weakest since March 11, 2009.
Gold turned lower on Monday, as the dollar pared losses. Spot gold was down 0.7 percent at $1,152.45 an ounce, after rising to $1,167.50 an ounce. U.S. December gold futures settled down 0.5 percent at $1,153.60 an ounce.
Platinum dropped as much as 4.5 percent, palladium hit a three-year low at $563.72 an ounce and silver fell 4.8 percent to the lowest since Aug. 6 at $14.57 a ounce.
Dollar index at lowest since end-January. The U.S. dollar fell 2.5 percent to its lowest since the end of January before paring losses
Asian markets are mixed today as Japanese and Hong Kong shares show gains. Chinese stocks continued to fall, though elsewhere in Asia stocks returned to gains. The Shanghai Composite is down 3.12% while the Hang Seng is up 2.64%. The Nikkei 225 is trading positive at 1.10%. The gains came despite the losses in Europe and the US over night.