Dow sinks 330 points as US-China tensions grow, airlines plummet after Buffett sale

• US stocks fell Monday amid investor concern over a further escalation of the long-running conflict between the US and China.
• Airline stocks plunged after famed investor Warren Buffett said over the weekend that he sold all his shares in the industry's "big four" carriers.
• Crude oil slipped after rebounding 17% last week. The commodity has seen considerable volatility as the coronavirus outbreak has hit demand.
• Read more on Business Insider.

US stocks fell Monday amid investor concern over a further escalation of the long-running conflict between the US and China.

On Sunday, US Secretary of State Mike Pompeo said there is 'enormous evidence' that coronavirus originated in a Chinese lab, although US intelligence officials and experts have said there's no evidence to prove such a theory.

"Such statements indicate that Sino-American relations are about to get worse," said Hussein Sayed, chief market strategist at FXTM. "A close eye should be kept on how the situation between the two countries develops."

Here's where US indexes stood shortly after the 9:30 a.m. ET market open on Monday:

• S&P 500: 2,800.15, down 1.1%
• Dow Jones industrial average: 23,398.59, down 1.4% (325 points)
• Nasdaq composite: 8,539.99, down 0.8%

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Major airline stocks plunged Monday after Warren Buffett announced during Berkshire Hathaway's annual shareholder meeting Saturday that he'd sold all holdings in the industry's "big four." Delta Air Lines sank 13%, United Airlines fell 12%, American Airlines was down 13%, and Southwest Airlines declined 9%.

Crude oil also fell Monday, even after historic production cuts agreed upon by OPEC went into effect at the start of the month. There's a looming storage problem for oil traders as the coronavirus pandemic cratered global demand.

This week, investors will be watching for further economic data to show the full impact of the coronavirus crisis on the US economy in the midst of some states reopening. Last week, jobless claims were 3.8 million, bringing the six-week total to 30 million. This Friday, the April employment report will likely show high unemployment and lost jobs.

Read more: A stock chief at $6.5 trillion BlackRock outlines 5 major themes the pandemic is poised to shape — and why investors should take note of each

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