Business Notes: Drop In Stock Market Continues As Unknown Looms
PITTSBURGH (KDKA) -- In today's Business Notes, if there is a bottom to this drop in the stock market, no one right now has a guess as to where it is.
The pattern that seems to be in play on Wall Street held true on Wednesday: an up day followed by a down day.
Today, was the down day, and the disturbing part is that when we have a down day, the down day has been a significant loss.
That is what happened with the Dow at one point giving up more than 2,300 points.
Also the 9,800 points the Dow gained in the three years after President Donald Trump was sworn into office has been wiped out in just one month.
The market is now lower than when President Trump assumed office.
There was somewhat of a rally in the last few minutes of trading, but it was still a sizeable loss.
What appears to be happening on Wall Street is a flight to cash.
Investors are selling to make sure they have cash. They also seem to be avoiding some of the traditional safe havens in bad market times.
In fact, as the Wall Street Journal stated, investors sold nearly everything they could, calling it the most all-encompassing market drawdown since 2008.
Even word of more action by the Treasury and the Fed and Congress to shore up the economy did not help today.
The price of domestically produced oil dropped to its lowest level in 18 years.
As far as the American people, the Trump Administration wants Congress to approve direct payments to Americans totaling $500 billion.
Here are the closing numbers.
The Dow today lost more than 1,300 points or more than 6 percent of its value.
The NASDAQ gave up 345 points or 4.7 percent.
And, the S&P 500 lost 130 points, and that is more than five percent of its value.
