U.S. stocks tumbled Thursday with both the Dow Jones Industrial Average and the S&P 500 index suffering their worst day since the October 19, 1987 “Black Monday” crash, while the S&P 500 and Nasdaq Composite joined the Dow in ending a record-setting, 11-year bull market.

Stock prices plunged despite a move by the Federal Reserve to offer some $1.5 trillion worth of funding to keep credit flowing through financial markets to businesses as governments move to restrict the movement of people in an attempt to contain the coronavirus pandemic.

How did benchmarks perform?

The three major indexes finished in bear territory. The Dow Jones Industrial Average DJIA, -0.87% plunged 2,352.60 points, or 10%, to end at 21,200.62. The S&P 500 SPX, -1.11% shed 9.5%, or 260.74 points, to close at 2,480.64. The Nasdaq Composite Index COMP, -1.07% tumbled 9.4%, or 750.25 points, to finish at 7,201.80.

The day’s S&P 500 and Nasdaq declines pushed the benchmarks lower by at least 20% from their recent record intraday peaks, the widely accepted definition for a bear market, a day after the Dow qualified.

Read: The Dow just tumbled into a bear market—here’s how long those downturns last on average

What drove markets?

Stocks ended near session lows even though the Federal Reserve said it would inject more than $1.5 trillion of temporary liquidity into the financial system on Thursday and Friday and add purchases of U.S. Treasury notes and bonds to increase its balance sheet. The moves were an effort to alleviate what the New York Fed called “highly unusual disruptions in Treasury financing markets associated with the coronavirus outbreak.”

See:These are the ‘highly unusual disruptions’ in the U.S. bond market that prompted the Fed to act

“The biggest issue isn’t the coronavirus, it’s the emerging liquidity crisis,” Kent Engelke, chief economic strategist at Capitol Securities Management told MarketWatch, following the Fed’s move to bolster markets. “It’s frankly scary. It really shatters your confidence in the market.”

Stocks plunged at the opening bell, following on limit-down losses for stock-index futures, after President Trump on Wednesday evening announced restrictions on travel from Europe into the U.S. He also promised financial relief “for workers who are ill, quarantined or caring for others due to coronavirus.”

The president also said the Small Business Administration will make emergency low-interest loans available to affected businesses, and said the government will defer tax payments for certain individuals and companies for three months.

However, those measures and a lack of progress by lawmakers on a stimulus packaged deepened market jitters.

“The biggest source of disappointment on Wall Street was the lack of specific ways to support people and [small- and medium-size enterprises] of the sort that were announced in the U.K. budget,” said Jasper Lawler, head of research at London Capital Group, in a note.

“Paid sick leave, free testing and a solution for uninsured Americans were all missing. The acrimony between the Republican White House and Democratic Congress since impeachment seems to be making it harder for the U.S. to respond with the speed and vigor required,” he said.

Investor hopes for strong action by the European Central Bank were dashed, too. The central bank chose not to lower interest rates, but offered liquidity to financial institutions in the hope that they will support small and medium businesses across the eurozone.

See:Lagarde in damage-control mode after saying ECB ‘not here to close spreads’ amid Italy bond selloff

In unprecedented moves to contain the coronavirus epidemic domestically, New York State banned all social gatherings of 500 or more people, while basketball, baseball, hockey and soccer authorities cancelled or postponed entire sporting seasons, and the U.S. Capitol shuttered to the public.

A global recession is becoming more likely, analysts said, as manufacturing, services industries, and international trade and travel are all hit by government restrictions on the movement of people in an attempt to contain the spread of the coronavirus epidemic.

The virus “has disrupted the global economy and has quickly morphed into a dislocation in financial markets too,” Morgan Stanley economist Chetan Ahya wrote in a note.

Read: Dire forecast: U.S. economy could tank 4% in the second quarter as nation shuts down to fight coronavirus

Airline shares ended sharply lower. American Airlines Group Inc. AAL, -3.22% dropped 17.3%, while United Airline Holdings Inc. UAL, -3.61% dropped 24.8%. The parent of United Airline said Thursday it has entered a $2 billion term loan facility agreement and has used the proceeds to pay certain transaction fees and expenses and for general corporate purposes.

See: Airline stocks tumble

How did other markets trade?

European equities were hit hard, with the pan-European Stoxx 600 Europe index SXXP, -0.66% tumbling 11.5%, its biggest daily recent drop on record, after airlines were hard hit after Trump’s announcement of the travel ban.

Government bonds also saw sharp moves. The 10-year Treasury note yield TMUBMUSD10Y, 0.701% rose 2.5 basis points to 0.84%, after .

Oil futures closed sharply lower. West Texas Intermediate crude for April delivery US:CLJ20 lost 5.4% to finish at $31.50 a barrel, while May Brent crude UK:BRNK20, the global benchmark, ended 7.2% lower at $33.22 a barrel.