The S&P 500 has shed more than $1.7 trillion in value in the past two days
The U.S. stock-market rally is unraveling, with a period of historic gains coming to a screeching halt, as fear that the coronavirus epidemic may reach America rattles Wall Street.
The Dow Jones Industrial Average DJIA, -3.15% was off 929.92 points, or 3.3%, at its Tuesday nadir, at 27,030.88, a day after the blue-chip benchmark suffered a drop of more than 1,000 points, representing the third worst one-day point drop in the index’s 124-year history.
The Dow finished Tuesday down nearly 880 points to mark its sharpest-ever two-session slide in point terms, losing about 1,910 points, according to Dow Jones Market Data.
The fall also marked the largest two-day percentage slide for the index since the period ended Feb. 5, 2018. The skid puts the Dow 8.4% away from its Feb. 12 record-high close of 29,551.42. That means the Dow is approaching correction territory at 26,596.28, defined as a drop of at least 10%, but not greater than 20%, from a recent peak.
Meanwhile, the S&P 500 SPX, -3.03% and the Nasdaq Composite COMP, -2.77% finished sharply lower. The S&P 500 is off 7.6% from its recent record high on Feb. 19 and has shed nearly $1.74 trillion this week, according to Howard Silverblatt, senior index analyst at S&P Dow Jones Indices, in a Tuesday research note.
The Nasdaq is off 8.6% from its Feb. 19 all-time closing high. Put another way, its recent decline is 1.4 percentage points from representing a correction. That would occur at the 8,835.46 level.