The Dow Jones Industrial Average just experienced its third-worst point drop in history.
The Dow plummeted over 800 points Wednesday, or over 3 percent, falling below 26,000 for the first time in a month, per CNN. It was the third worst point drop in the Dow’s history, though not even close in percentage terms due to the index’s size. As a percentage, the drop was only the worst in eight months, CNN’s Vaughn Sterling reports.
The S&P 500 also tumbled over 3 percent while the Nasdaq fell over 4 percent. Technology stocks were hit with some of the deepest selloffs, with Amazon and Netflix falling over 6 percent and 8 percent respectively, The Wall Street Journal reports.
Analysts blamed the drop on fears that rising interest rates, trade tensions between the U.S. and China, and dips in housing and automotive sales could spell trouble for the U.S. economy. The CBOE Volatility Index, sometimes referred to as the “market fear index,” also rose to its highest point in about six months, CNBC reports.
SOURCE: The Week – Brendan Morrow