Dow plunges nearly 3,000 points as Fed intervention does little to subdue Wall Street’s distress
U.S. markets went deep red on coronavirus fears, shredding roughly 12 percent from the S&P 500 and Nasdaq
By David J. Lynch - The Washington Post - March 16, 2020
Excerpt below:
Fears that policymakers have not done enough to avert a protracted economic downturn deepened a sense of national crisis Monday and sent stocks to their worst single-day losses since the Black Monday crash of 1987.
The sell-off accelerated, with the Dow Jones industrial average plunging nearly 3,000 points, after President Trump warned that disruption from the coronavirus pandemic could last through August and issued new public health guidance, saying Americans should limit gatherings to no more than 10 people.
The Fed has slashed the rate it charges banks for those short-term loans to just 0.25 percent, in hopes of spurring lending to cash-strapped businesses.
Frustration is building with Washington’s failure to find a way to quickly assemble an economic rescue. “The fiscal response should already have been done,” said David Kotok, chairman of Cumberland Advisors. “And the fiscal response, in my estimation, will eventually have to be more than $1 trillion or the country is going to have a raft of bankruptcies.”
Read the full article at The Washington Post (The WaPo is providing this story for free so that all readers have access to this important information about the coronavirus. For more free stories, sign up for our daily Coronavirus Updates newsletter.): https://www.washingtonpost.com/business/2020/03/16/stocks-markets-today-coronavirus/
Links to other websites or electronic media controlled or offered by Third-Parties (non-affiliates of Cumberland Advisors) are provided only as a reference and courtesy to our users. Cumberland Advisors has no control over such websites, does not recommend or endorse any opinions, ideas, products, information, or content of such sites, and makes no warranties as to the accuracy, completeness, reliability or suitability of their content. Cumberland Advisors hereby disclaims liability for any information, materials, products or services posted or offered at any of the Third-Party websites. The Third-Party may have a privacy and/or security policy different from that of Cumberland Advisors. Therefore, please refer to the specific privacy and security policies of the Third-Party when accessing their websites.
Sign up for our FREE Cumberland Market Commentaries
Cumberland Advisors Market Commentaries offer insights and analysis on upcoming, important economic issues that potentially impact global financial markets. Our team shares their thinking on global economic developments, market news and other factors that often influence investment opportunities and strategies.
