Australian shares to drop, Wall Street slides as investors cash out of ‘reopening’ trade

Australian shares are expected to slide again after Wall Street fell a second straight day amid concerns over a spike in global coronavirus cases affected travel-related stocks and oil prices.

ASX futures were down by a steep 78 points (-1.1pc), by 6.50am AEST.

The Australian dollar was down (-0.4pc) to 77.24 US cents.

In New York, the Dow Jones index dropped 256 points (-.0.8pc) to 33, 821,  the benchmark S&P 500 slid (-0.7pc) to 4, 135, and Nasdaq Composite dropped (-0.9pc) to 13, 786. 

Travel stocks like airlines and cruise operators fell sharply, while companies in the energy, financial and mining sectors were also hit hard in the US trading session overnight.

Reopening already ‘priced in’

Coronavirus cases globally have…