By: Ted Patterson
The Dow dropped by a thousand points today as fears of a Coronavirus pandemic grows.
Stocks fell sharply on Monday as the number of coronavirus cases outside China surged, stoking fears of a prolonged global economic slowdown from the virus spreading.
The Dow Jones Industrial Average closed 1,031.61 points lower, or 3.56%, at 27,960.80. The S&P 500 slid 3.35% to 3,225.89 while the Nasdaq Composite closed 3.71% lower at 9,221.28. It was the Dow’s biggest point and percentage-point drop since February 2018. The Dow also gave up its gain for 2020 and is now down 2% for the year. The S&P 500 also had its worst day in two years and wiped out its year-to-date gain as well.
“There remains a large degree of uncertainty surrounding the virus, and no one knows how this will ultimately play out. With stock prices and valuations still near cycle highs, the risk of a worsening virus outbreak has not been priced into the market to a great extent.”
- Keith Lerner, chief market strategist at Truist/SunTrust Advisory, to CNBC
Ted Patterson is editor of Republic Press.