(Reuters) – The S&P 500 and Dow Jones dropped for the third session on Monday following a U.S.-China dispute over the origins of the coronavirus outbreak and a move by billionaire Warren Buffett’s Berkshire Hathaway to dump stakes in major U.S. airlines.
FILE PHOTO: The New York Stock Exchange (NYSE) is seen in the financial district of lower Manhattan during the outbreak of the coronavirus disease (COVID-19) in New York City, U.S., April 26, 2020. REUTERS/Jeenah Moon
Shares of Delta Air Lines Inc (DAL.N), American Airlines Group Inc (AAL.O), Southwest Airlines Co (LUV.N) and United Airlines Holdings Inc (UAL.O) fell between 7% and 10% and were among the biggest decliners on the S&P 500 after Buffett said “the world has changed” for the aviation industry.
Shares of Berkshire itself fell 3.0% and weighed on the S&P 500 after the conglomerate posted a record quarterly net loss of nearly $50 billion.
Buffett, whose comments are closely followed by investors, acknowledged at Berkshire’s annual meeting on Saturday that the global pandemic could significantly damage the economy and his investments.
“His narrative was relatively sober compared to his posture over the years,” said Emily Roland, co-c