- Stocks fell the most in two days since October 2020 as traders assessed the latest developments in the spread of the Omicron coronavirus strain, with the United States confirming its first case in California.
- The S&P 500 lost ground after rallying nearly 2% earlier in the day on heavy trading volume. The technology-heavy Nasdaq 100 underperformed major benchmarks, with titans like Tesla and Meta Platforms collapsing. Small-cap stocks, airlines, cruise lines, and hotels all fell.
- COVID-19 cases in South Africa nearly doubled since Tuesday, with the new strain also appearing in the United Kingdom, Switzerland, and Brazil. The chief scientist of the World Health Organization stated that vaccines will most likely protect against severe cases of the variant.
- Traders also considered comments from Federal Reserve Chair Jerome Powell, who reiterated the central bank's message that it would keep inflation under control and that officials should consider speeding up the rate at which they withdraw support.
- According to the Fed's Beige Book, the economy grew at a slow to moderate pace through mid-November, while price increases were widespread due to supply-chain disruptions and labour shortages. Confidence among chief executives of large U.S. companies reached an all-time high in November, a measure of manufacturing rose, and data suggested employers continued to work on filling a near-record number of open positions.
