Dow dives 2,997 points
U.S. stock indexes fell sharply Monday, a day after the Federal Reserve aggressively cut interest rates to near zero in a bid to stop the economy from crashing. The Dow Jones Industrial Average dropped 2,997.20 points, or about 13%, as coronavirus measures rapidly expanded. The S&P 500 index lost nearly 12%.
The Dow, which closed at 20,188.52, has lost 31.7% since its record high Feb. 12 as the market plunges deeper into bear territory after an 11-year winning streak.
The Dow’s breathtaking drop Monday was the biggest since the Black Monday crash of October 1987, when the blue chip index lost 22%.
The deep stock market sell-off reflects broad concerns that despite these economic measures, the U.S. economy is likely heading toward a recession.