U.S. stock indices fell on Tuesday as oil prices tumbled after Saudi Arabia said it wouldn't implement output cuts, because there is no guarantee other producers would do the same. Shares of energy companies and banks exposed to shocks from the oil market led declines.
The Dow Jones Industrial Average fell 189 points, or 1.1%, to 16,431. The S&P 500 lost 24 points, or 1.2%, to 1,921 (its energy sector plunged 3.2%). The Nasdaq Composite fell 67 points, or 1.5%, to 4,503.
Meanwhile the Conference Board reported that consumer confidence declined in the U.S. in February. The corresponding index fell to 92.2 (1985=100) from 97.8 in January. The current situation assessment declined to 112.1 from 116.6, while the expectations sub-index slid to 78.9 from 85.3.
Other data showed real estate prices continued rising in major cities in December, although the pace of growth was slightly below expectations. The S&P/Case-Shiller Home Price composite index rose by 5.7% y/y. Economists had expected prices to add 5.8%.
This morning in Asia Hong Kong Hang Seng dropped 1.78%, or 345.53 points, to 19,069.25. China Shanghai Composite Index fell 0.60%, or 17.46 points, to 2,885.88. Meanwhile the Nikkei declined 1.09%, or 174.31 points, to 15,877.74.
Asian stock indices fell as fresh declines in oil prices intensified concerns over the global economic growth. Energy and financial shares suffered most. Japanese banks on the broader Topix index lost 1.2%. A stronger yen harmed exporters' competiveness.