FILE PHOTO: A shuttered Macy's store and empty parking lot are seen at the closed Palisades Center shopping mall during the coronavirus outbreak in West Nyack, New York, U.S., March 20, 2020. REUTERS/Mike Segar/File Photo

(Reuters) - Macy's Inc M.N will be removed from the benchmark S&P 500 stock index .SPX, the S&P Dow Jones Indices said on Tuesday, as coronavirus-induced store closures compound the retail sector's struggles with a shift to online shopping.

The company’s shares have plunged more than 70% so far this year, leaving Macy’s with a market value of $1.52 billion as of Tuesday’s close, according to Refinitiv IBES data.

“Macy’s has a market capitalization more representative of the small-cap market space,” S&P said, adding that the company would become part of the S&P small-cap 600 index, effective April 6.

The pandemic has forced U.S. brick-and-mortar retailers, including Macy's Inc M.N and Gap Inc GPS.N, to shut stores, furlough employees, withdraw forecasts and suspend dividends.

Macy's will be replaced in the S&P 500 by air conditioning company Carrier Global Corp CARR_w.N.

Carrier was spun out last month by United Technologies in a bid to shed assets to complete its merger with Raytheon Co RTN.N.

That deal is expected to close on April 3.

Raytheon will be replaced in the S&P 500 by United Technologies' elevator unit Otis Worldwide Corp OTIS_w.N, according to a statement from the S&P Dow Jones Indices.