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Stocks fell sharply on Friday after the number of new coronavirus cases escalated, fueling worries over a pronounced global economic slowdown.
The Dow Jones Industrials tumbled 227.57 points, to end the day and the week at 28,992.41, its first close below 29,000 since Feb. 4.
The S&P 500 slouched 35.84 points, or 1.1%, to 3,337.75, its biggest one-day loss since Jan. 31
The NASDAQ wilted 174.38 points, or 1.8%, to 9,576.59, the tech-heavy index suffering its worst session since Jan. 27.
Friday’s losses put the major averages on pace for their first weekly losses in three weeks. The NASDAQ was down 1.6% this week. The Dow gave back 1.4% and the S&P 500 lost nearly 1.3% for the week.
Microsoft fell more than 3% to lead the Dow lower on Friday. The S&P 500 was pressured by a 2.3% drop in the tech sector. Facebook, Amazon, Netflix, Google-parent Alphabet and Apple all closed at least 1.5% lower to drag down the NASDAQ lower. In turn, money poured into U.S. bonds, pushing the 30-year rate to an all-time low.
China’s National Health Commission reported more than 75,000 confirmed cases and over 2,000 deaths on the mainland. More than 800 new cases were reported in China overnight. South Korea reported 52 new cases on Thursday to take its total to 150.
IHS Markit also said activity in the U.S. services sector hit its lowest level in more than six years, noting confidence was “subdued” to the coronavirus.
Prices for the 10-Year U.S. Treasury gained sharply, lowering yields to 1.47% from Thursday’s 1.52%. Treasury prices and yields move in opposite directions.
Oil prices dropped 54 cents to $53.34 U.S. a barrel.
Gold prices hiked $25.30 to $1,645.80 U.S. an ounce.
