Trading halted on Wall Street after stocks plunge 7% at open

NEW YORK (AP) —

The sell-off bludgeoning financial markets around the world got even worse Thursday as the economic pain caused by the coronavirus became more painfully clear. Worries are rising that the White House and other authorities around the world can’t or won’t do what’s needed to help soon.

After the Dow Jones Industrial Average closed in a bear market for the first time in more than a decade, President Donald Trump said late Wednesday he would restrict travel to Europe in hopes of containing the virus. It’s the latest hit for an airline industry already battered by frightened travelers cancelling plans, and market losses accelerated around the world as Trump spoke while giving few details about a big stimulus program that could help.

The S&P 500 dropped about 7% within the first few minutes of Thursday's trading, steep enough to trigger an automatic halt to trading on the New York Stock Exchange. The index is set to join the Dow in entering a bear market after losing more than 20% from its record set last month, and one of the greatest eras in Wall Street’s history is crumbling.

The damage was worldwide and eye-popping. European stocks tumbled 8%, even after the European Central Bank pledged to buy more bonds and offer more help for the economy. In Thailand and the Philippines, stocks fell so fast that trading was temporarily halted. Japan’s Nikkei 225 sank to its lowest close in four years.

Not only has the degree of the market’s drop in recent weeks been breathtaking, so has its speed. If the S&P 500 remains under 2,708.92, which looks very likely, it would be the fastest that the index has fallen from a record to a bear market since World War II, according to CFRA.

It was just two days ago that the S&P 500 soared nearly 5%...