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.
“The second-largest economy in the world is completely shut down. People aren’t totally pricing that in,” said Larry Benedict, CEO of The Opportunistic Trader, adding a 10% to 15% correction in stocks may be starting. He also said some parts of the market, particularly large-cap tech stocks, appear to be over-owned. “It seems like there’s much more to come.”
Coronavirus-impacted names led the way lower. Airline stocks Delta and American were both down more than 6% while United closed 5.4% lower. Shares of casino operators Las Vegas Sands and Wynn Resorts dropped at least 5.2% each. MGM Resorts slid 5.4%.
As of today… at 1:20 pm, the Dow is down a further 520 points, based on COV-19 fears.
At 3:30 pm, the Dow is 856 points down on the day
Closes at 878 down.
Trump, in India, makes it clear that our government is not on top of this:
“And at that time, nobody had ever even heard of Ebola or of a — conceived of something where you basically — people would disintegrate. And it — we’re — we’re still working on Ebola, or we’re doing — we’re doing the vaccine.” — Donald Trump, in India today, on Ebola— Chris Cillizza (@CillizzaCNN) February 25, 2020
As we face a potential pandemic, the Trump administration’s public statements are COMPLETELY INCOHERENT— Judd Legum (@JuddLegum) February 25, 2020
TRUMP TODAY: Coronavirus is “very well under control in our country”
CDC TODAY: “We are asking the American public to prepare for the expectation that this might be bad”
The White House now says that when Pres Trump claimed that “we’re very close to a vaccine" for coronavirus – he was actually referring to Ebola. Dr Anthony Fauci from the Nt'l Institute of Infectious Diseases @NIAIDNews told me today a coronavirus vaccine is 12 to 18 months away— Chris Jansing (@ChrisJansing) February 25, 2020
Last Updated at (M/D/YYYY) 2/25/2020, 9:23:02 AM
Total Confirmed Cases: 80,147
Total Deaths: 2,699
Total Recovered: 27,621
The latest tally of novel coronavirus cases in the United States has jumped to 53, the CDC says. The new total now includes 36 passengers from the Diamond Princess cruise ship. https://t.co/znfTwd29r9 pic.twitter.com/6B3wY8SC6G— CNN Breaking News (@cnnbrk) February 25, 2020
The Coronavirus is not contained. It will not fade in the spring. Trump cut CDC by 9 percent. Trump eliminated the position at the global health security teams at NSC and DHS. They don’t know what they are doing. They are fixated on the politics and the stock market.— Brian Schatz (@brianschatz) February 25, 2020
WATCH: Sen. Kennedy presses Acting DHS Sec. Wolf on coronavirus preparedness and equipment:— NBC Politics (@NBCPolitics) February 25, 2020
“You’re supposed to keep us safe. And the American people deserve some straight answers on the coronavirus — and I’m not getting them from you.” pic.twitter.com/dBUXzNDaj1