Dow plunges 1,000 points as coronavirus cases outside China jump
Global financial markets were jolted Monday after a significant rise in coronavirus cases outside of China spooked investors, reviving concerns about a potential economic fallout from the outbreak.
The Dow Jones industrial average plunged 1,000 points, or 3.5%, erasing its gains for the year. The losses puts the blue-chip average on pace for its biggest one-day drop since February 2018, when inflation fears rattled investors. The Standard & Poor’s 500 slid 3.5%, but is still sitting within 4.7% of its record set on Wednesday. The technology-heavy Nasdaq Composite shed 4%.
Stocks were pummeled after South Korea reported 231 new cases of the deadly virus Monday, bringing the country’s total to 833 cases. China reported 409 new cases, raising the mainland’s total to 77,150. The 150 new deaths from the illness raised China’s total to 2,592. Elsewhere, a surge in reports of new cases in Iran and Italy raised the prospect of more disruptions.
“Many investors remain complacent about the far-reaching impact of coronavirus, which is continuing to spread – and a faster pace,” Nigel Green, chief executive and founder of financial consultancy deVere Group, said in a note. “This will inevitably hit financial markets and investors’ complacency leaves many wide open to nasty surprises.”
https://finance.yahoo.com/news/dow-futures-plunge-800-points-112115239.html
