Dow Jones plummets 900 points as coronavirus cases surge

[mystery-ak]

Dow Jones plummets 900 points as coronavirus cases surge

The worldwide death toll from the novel coronavirus has risen to 2,612.

By
Catherine Thorbecke
February 24, 2020, 8:37 AM
2 min read

 The Dow Jones Industrial Average plummeted more than 900 points on Monday as the number of coronavirus infections around the world have surged.

As markets opened Monday, the worldwide death toll from the novel coronavirus has risen to 2,612, with a vast majority of them in China.

Outside of China, there have also been reports of the virus spreading rapidly in Japan, South Korea and Italy.

The S&P 500 and Nasdaq also tumbled Monday morning, by more than 2.6% and 3%, respectively.

more
https://abcnews.go.com/Business/dow-jones-plummets-900-points-coronavirus-cases-surge/story?id=69174540&cid=clicksource_4380645_1_heads_hero_live_hero_hed

[skeeter]

This will become the rat strategy to retake the White House in November.

C'mon Coronavirus!

Katrina redux.

[Cyber Liberty]

It's a very real concern about supply chains.  There are large shipping companies refusing to port in China.  I think I read Maersk halted shipments last weak.

[Cyber Liberty]

This will become the rat strategy to retake the White House in November.

C'mon Coronavirus!

Katrina redux.

That is exactly what the Rats are praying for.  They want people to die so they can declare this "Trump's Katrina."

[skeeter]

That is exactly what the Rats are praying for.  They want people to die so they can declare this "Trump's Katrina."

I have no doubt about that. They are insane to win power back.

[Idiot]

I have no doubt about that. They are insane to win power back.

The markets move on fear and greed.....  I told my dear old mom last week that she'd better be prepared for a 25% haircut in the market due to the virus coming.  Heck...I even considered getting facemasks...   Still may.

[thackney]

I even considered getting facemasks...   Still may.

You probably will have trouble finding them to buy this late.

https://www.amazon.com/slp/flu-mask/fxmf7b7o79qa7z9

[Applewood]

!@#$%&*

BTW it's a thousand points as of 4 pm EST
(Nasdaq 355.31
S&P 111.86)

[Cyber Liberty]

Closed down about 1030 or so.  That was the lowest point of the day, not a good sign.

[Applewood]

Closed down about 1030 or so.  That was the lowest point of the day, not a good sign.

Thanks for the update.  I was reading from my FA's newsfeed, which may or may not be accurate much of the time.  Or maybe they stopped counting after an even thousand.

But somewhere in my pea brain I knew this wax coming.  Market has been jittery about the virus for some time.  About the only thing that stalled the plunge of late was some good economic news, particularly a few earnings reports.  But I knew that was only going to be temporary.

[Free Vulcan]

This is a genuine supply side economic shock. Not a lightening of demand due to overstretched consumers or inflation, but lost economic output due to a hit to the infrastructure that cripples capacity and the ability to deliver goods.

What that means for the market is that instead of looking out 6 months to a year at things, and discounting the meaningless chaff news, they will now be reacting to everything that comes across the tape as they try to assess the economic impact of this virus in very murky waters.

Expect serious volatility. A crash is a possibilty.

The global economy is entirely too dependent on China, who is between a rock and a hard place with this virus. We are going to pay right along with them just because of our dependence on their supply chains.

[Elderberry]

The Dow tumbled more than 1,000 points and marked its third-worst point drop in history — here’s how the stock market tends to perform after big drops

Market Watch

https://www.marketwatch.com/story/the-dow-is-off-by-more-than-a-1000-points-and-heading-for-its-second-worst-point-drop-in-its-history-heres-how-the-stock-market-tends-to-perform-afterward-2020-02-24?siteid=yhoof2&yptr=yahoo

It finally happened.

A bona fide selloff took hold Monday on Wall Street after investors spent weeks attempting to come to terms with the potential impact of the COVID-19 outbreak as it spreads in countries outside of China, notably Italy and Iran, threatening to dent global supply chains and economies.

There are now 79,339 cases of COVID-19 — the infectious disease derived from the novel strain of coronavirus that reportedly originated in Wuhan, China, last year — in 30 countries, and 2,619 deaths, according to the latest figures from the World Health Organization.
Third-biggest point drop...ever

The day’s decline marks the third-biggest daily point drop for the Dow Jones Industrial Average DJIA, -3.56% in its 124-year history. The blue-chip benchmark closed 1,031.33 points, or 3.56%, lower, to end at 27,961, not far from the intraday low at 27,912.44.

To be sure, such point drops are less meaningful because the Dow has been trading at lofty levels. For example, the Dow’s 1987 crash was a 508-point decline but that fall represented a 23% plunge back then.

Need to Know: Warren Buffett says ‘don’t buy or sell’ on the headlines as coronavirus sends stocks plunging
3% or worse

Monday’s selloff marks the first time all three major benchmarks — the Dow, the S&P 500 index SPX, -3.35%, and the Nasdaq Composite Index COMP, -3.71% — each fell by at least 3% on the same day since Dec. 4, 2018, according to Dow Jones Market Data.
Negative for the year

Monday’s downturn has wiped out this year’s gains for the Dow (now -2.02%) and the S&P 500 (now -0.15%).

More at link.

[Free Vulcan]

!@#$%&*

BTW it's a thousand points as of 4 pm EST
(Nasdaq 355.31
S&P 111.86)

@Applewood I cannot legally tell you how to invest your money. If it were my money, at only a few percentage points off the high from the huge bull run we just had, I would be OUT of the market and in cash as fast as I could get there.

As I said above, this is a serious supply side economic shock. Not something you can just speed bump over and continue at cruising speed. This is going to dent the world economy in a serious way, and the downside risk to the market is huge.

That's what I'd do if it were me anyway. Give it thought.

[Applewood]

@Applewood I cannot legally tell you how to invest your money. If it were my money, at only a few percentage points off the high from the huge bull run like we just had, I would be OUT of the market and in cash as fast as I could get there.

As I said above, this is a serious supply side economic shock. Not something you can just speed bump over and continue at cruising speed. This is going to dent the world economy in a serious way, and the downside risk to the market is huge.

That's what I'd do if it were me anyway. Give it thought.

Thanks  for your advice.  I just got an email from my adviser.  "Two words:  Don't Panic"  He knows I go crazy every time there is a big drop.    I'll be talking to him tomorrow.

[EdinVA]

I remember when the stock market dropped 100 points because Greenspan had a car accident... no injuries, just bent sheet metal.

[Fishrrman]

Cyber wrote:
"That is exactly what the Rats are praying for.  They want people to die so they can declare this "Trump's Katrina.""

And skeeter replied:
"I have no doubt about that. They are insane to win power back."

If the China epidemic turns pandemic, and if it breaks out here, and if the stock market continues to slide, it could very well have great impact on the coming election.

I predict we'll see the democrat-communists actually opposing the efforts Mr. Trump and the Republicans make to keep a lid on things.

[Cyber Liberty]

Cyber wrote:
"That is exactly what the Rats are praying for.  They want people to die so they can declare this "Trump's Katrina.""

And skeeter replied:
"I have no doubt about that. They are insane to win power back."

If the China epidemic turns pandemic, and if it breaks out here, and if the stock market continues to slide, it could very well have great impact on the coming election.

I predict we'll see the democrat-communists actually opposing the efforts Mr. Trump and the Republicans make to keep a lid on things.

I'd bet a Hunnert Dollah on it.

[mountaineer]

That is exactly what the Rats are praying for.  They want people to die so they can declare this "Trump's Katrina."

They'd be elated if thousands die. Dems are sickos.

[musiclady]

Thanks  for your advice.  I just got an email from my adviser.  "Two words:  Don't Panic"  He knows I go crazy every time there is a big drop.    I'll be talking to him tomorrow.

Just got a call from our adviser.  He’s taking money out of the market and putting it in something more secure temporarily to ride this out.

My husband isn’t a risk taker and thinks it’s better to not earn for a little while rather than lose a lot with a potential global economic crisis.

FWIW.....

(We’re retired).

@Applewood

[Free Vulcan]

SP500 futures have rebounded some and are holding during the Asia trading hours so far, which is a good sign for tommorow.

[Applewood]

And then, there was this:

Trump says the stock market is 'starting to look very good' after the Dow plunged over 1,000 points amid coronavirus fears

President Trump said in a Monday afternoon tweet that the "stock market is starting to look very good to me" on a day the Dow plunged over 1,000 points, largely over fears of the spreading coronavirus.

"The Coronavirus is very much under control in the USA," Trump said on Twitter. "We are in contact with everyone and all relevant countries. CDC & World Health have been working hard and very smart. Stock Market starting to look very good to me!"

https://markets.businessinsider.com/news/stocks/trump-stock-market-starting-look-very-good-plunging-1000-points-2020-2-1028933348

[thackney]

I take more of a Warren Buffett approach to investing, long term:

https://www.marketwatch.com/story/warren-buffett-says-dont-buy-or-sell-on-the-headlines-as-coronavirus-sends-stocks-plunging-2020-02-24

...However, in our call of the day, Warren Buffett told investors not to buy or sell stocks, which he referred to as businesses, based on the day’s headlines.

“The real question is: ‘Has the 10-year or 20-year outlook for American businesses changed in the last 24 or 48 hours?’” the billionaire investor said on CNBC.

“You’ll notice many of the businesses we partially own, American Express AXP, -4.97%  , Coca-Cola KO, -2.46%   â€” those are businesses and you don’t buy or sell your business based on today’s headlines. If it gives you a chance to buy something you like and you can buy it even cheaper then it’s your good luck,” the chairman and CEO of Berkshire Hathaway BRK.B, -3.33%   added....

[Gefn]

The FTSE and the Nikkei are trading down today. No doubt Wall Street will be down as well.

[Cyber Liberty]

The DJIA opened up about 150 points this morning. 

[XenaLee]

Meanwhile..... aholes like Soros get even more filthy rich off of the misfortunes of others.  Makes you wonder if some of these scenarios might be contrived.