Crude Oil Closes Below $39; Volatility Could Delay Rate Hike

Commodity traders fled from crude oil on Monday, causing it to close below $39 a barrel for the first time since 2009. Plummeting oil prices hit the energy sector hard. Among the worst performers, Exxon Mobil (XOM) dropped more than $3 a share and Chevron (CVX) fell nearly 5%. The S&P 500 officially entered a correction after a brutal day for stocks. The benchmark index is now down 11% from its May peak. The Dow suffered deep losses as investors panicked over a slowdown in China and fears its central bank won't act fast enough to counter it. Global market volatility could give the Federal Reserve pause in deciding when to raise interest rates. Barclays analysts pushed out their forecast for the first hike from September this year to next March.