US open: Stocks head south following OPEC's historic production cut
US stocks recorded some early losses on Monday after OPEC and various other oil-producing nations reached a deal on a massive production cut.
As of 1530 BST, the Dow Jones Industrial Average was down 1.88% at 23,272.47, while the S&P 500 was 1.78% weaker at 2,740.12 and the Nasdaq Composite started out the session 0.97% softer at 8,074.73.
The Dow opened 446.90 points lower on Monday after closing out last week's shortened session higher as sentiment got a boost from news that the Federal Reserve was looking to provide as much as $2.3trn in financing for the private sector.
The Organisation of Petroleum Exporting Countries and its key allies managed to pull a rabbit out of the hat at the last minute on Sunday - defying sceptics.
After a week of marathon talks, on Sunday the cartel of oil-producing countries, which together with Russia and Kazhakstan are known as OPEC+, announced that its members would reduce their combined output by 9.7m barrels a day.
Nonetheless, some traders voiced doubt regarding the deal's effectiveness in propping up crude oil prices, especially in the very near-term.
Elsewhere, Dr Anthony Fauci, director of the National Institute of Allergy and Infectious Diseases, said on Sunday that he was cautiously optimistic that the outbreak was slowing down in the States and noted that parts of the country could potentially reopen as soon as May.
However, Fauci also added this does not mean the entire country would flip a "light switch" and go back to normal.
Confirmed Covid-19 cases in the US have nearly hit 550,000, with the outbreak claiming the lives of more than 21,000 Americans.
No major economic data or corporate earnings were slated for release on Monday.