Stock Market Swings Wildly Amid Coronavirus Uncertainty

While amusement parks across the globe have closed their gates to help limit the spread of the coronavirus, investors are experiencing a different kind of rollercoaster ride as stock markets continue to swing wildly.

Ever since news of the novel coronavirus spreading rapidly in Iran, Italy and South Korea emerged during the weekend of February 22 and 23, stock markets have seen some of the largest ups and downs in history, as investors jump on every piece of news amid the uncertainty that comes with an unprecedented global health crisis.

On Tuesday, U.S. stocks soared on news that the Senate was about to reach an agreement on a $2 trillion aid package to help the U.S. economy through these challenging times. The Dow Jones Industrial Average surged 2,113 points or 11.4 percent, in what was the largest single-day point gain in history and the largest percentage increase since 1933.

As the following chart shows, Monday’s rally came only days after the worst crash since 1987, when the Dow shed almost 3,000 points, or 12.9 percent on March 16.