A New York Stock Exchange trader is pictured at work Monday as the Dow Jones index tumbled by 1,855 points moments after opening (Pictures: EPA/Google)

America’s Dow Jones stock index tumbled by more than 1,800 points as it opened Monday morning amid growing fears coronavirus will trigger a recession.

Monday’s drop from 25,864 points to 24,031 is equivalent to 7.11% of the index’s total value. It came moments after the New York-based index opened at 9:30am EST, as the number of coronavirus diagnoses rocketed past 110,000 worldwide.

The sudden drop saw trading automatically halted for 15 minutes, and the phrase ‘Black Monday’ trend online. Trading has since reopened, with the Dow 1,455 points down just before 10:30am EST.

Coronavirus has also been blamed for an oil price war between Saudi Arabia and Russia that has further spooked stock markets and seen oil prices sink to their lowest level since the 1991 Gulf War.




The Dow Jones comprises America’s top 30 publicly-traded companies, with its performance seen as a useful barometer of the wider health of the economy. It has faced weeks of loses amid growing fears over the coronavirus outbreak.

Trading was suspended for 15 minutes as coronavirus fears and an associated oil price war between Saudi Arabia and Russia saw the value of America’s 30 biggest publicly-listed companies tank (Picture: Getty)

Concerns that the killer virus will spread and lead to quarantines have sparked fears that US productivity decrease sharply, potentially plunging the country into recession.

Oil prices have also plummeted amid a huge drop in demand, with key producer Saudi Arabia dropping the cost of a barrel of oil to try and encourage consumers to buy more. That cut has since sparked a price war with rival producer Russia.

Economist Chris Rupkey told CNBC: ‘The idea that lower gasoline prices is going to put more cash in workers’ pockets and give consumer spending and the economy a boost doesn’t seem to cushion the blow for stock market investors.

‘They want out. Big time. The sky is falling. Get out, get out while you can. Wall Street’s woes have to eventually hit Main Street’s economy hard.’

There are also concerns over imports from China – the country where the virus originated, and which has been worst hit by cases – as factories there have closed down in a bit to halt its spread.

So far, 554 cases of coronavirus have been diagnosed in the United States, with 22 people dying of Covid-19, the disease caused by the new strain of the virus. Experts have warned the figure will rocket in the coming days and weeks, with schools and businesses likely to close in a bid to try and contain the epidemic.

President Trump tried to blame the media for stoking panic Monday, despite previously taking credit for stock market gains.

He tweeted: ‘The Fake News Media and their partner, the Democrat Party, is doing everything within its semi-considerable power (it used to be greater!) to inflame the CoronaVirus situation, far beyond what the facts would warrant.

‘Surgeon General, “The risk is low to the average American.”‘