Shares on Wall Street retreated on Tuesday as data showed the United States manufacturing sector contracted in August for the first time since 2016.
The Dow Jones Industrial Average fell 285.26 points, or 1.08 percent, to 26,118.02, the S&P 500 lost 20.19 points, or 0.69 percent, to 2,906.27 and the Nasdaq Composite dropped 88.72 points, or 1.11 percent, to 7,874.16.
Oil prices dropped on Tuesday as U.S. manufacturing data and trade tensions between the U.S. and China weighed on investor sentiment.
U.S. West Texas Intermediate (WTI) crude CLc1 futures fell $1.16, or 2.1 percent, to settle at $53.94 a barrel. The session low was $52.84 a barrel, the lowest since August 9.
Brent crude LCOc1 futures lost 40 cents, or 0.7 percent, to settle at $58.26 a barrel. It sank as low as $57.23 a barrel, also the weakest since August 9.
The U.S.-China trade dispute “is the single most important flat price driver of late,” Tamas Varga of oil brokerage PVM, told Reuters.
Middle East markets
Saudi Arabia’s index fell 0.6 percent on Tuesday as Al Rajhi Bank’s shares fell 1 percent and Riyad Bank’s stock retreated 2.4 percent.
Dubai’s index dropped 0.5 percent with Emaar Properties, the emirate's largest listed developer, losing 2.3 percent.
Abu Dhabi’s index fell 1 percent with First Abu Dhabi Bank losing 1.1 percent and Abu Dhabi Commercial Bank shedding 2.6 percent.
The Qatari index added 0.3 percent with Qatar International Islamic Bank surging 5.3 percent and Qatar National Bank closing 1.1 percent higher.
Egypt's blue-chip index EGX30 declined 0.7 percent. Commercial International Bank was down 0.9 percent and Eastern Company traded 3.5 percent lower.
Kuwait’s premier market index edged up 0.1 percent while Oman’s index added 0.4 percent and Bahrain’s index gained 0.2 percent.
The dollar index firmed on Wednesday.
The dollar index .DXY, which measures the greenback against a basket of six major currencies, stood at 98.938 after rising overnight to 99.37.
Gold prices edged higher on Wednesday.
Spot gold was up 0.1 percent at $1,548.31 per ounce at 0121 GMT.
U.S. gold futures were steady at $1,555.6 an ounce.
(Reporting by Gerard Aoun; Editing by Mily Chakrabarty)
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