US stocks dropped sharply on Thursday as worries mounted over the coronavirus threat and the inefficient response from the Trump administration. Stocks are on track for their worst week since the financial crisis.
The Dow (INDU) dropped 1,191 points, or 4.4% in its worst one-day point drop in history. The index has fallen more than 10% below its most-recent peak. The S&P 500 (SPX) closed down 4.4% and finished the day below the 3,000 point mark. The Nasdaq Composite (COMP) ended down 4.6%, more than 10% below its latest peak.
All three indexes are on track for their worst week since the fall of 2008, the midst of the financial crisis.
Worries about the coronavirus outbreak mounted this week, with the US Centers for Disease Control and Prevention saying it expects cases in the United States to rise. The virus has now infected more than 82,000 people worldwide, with the vast majority of cases in China.
Corporations continue to warn that they won’t meet their first quarter earnings targets. Microsoft (MSFT) announced that late Wednesday. Goldman Sachs (GS) said in a report Thursday that it now thinks US companies will generate zero earnings in 2020.
This is a developing story.