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(CNN) – US stocks opened in red on Wednesday, after Tuesday’s rally, as concerns about the outbreak of coronavirus They arise again.
The Dow opened 700 points, or 2.9%, lower.
The S&P 500 started 2.6% lower.
The Nasdaq compound fell 2.5%.
Later more fell:
US stocks sold most mid-morning, with the Dow plummeting more than 1,000 points.
The index last fell 4.1%, or 1,015 points, while the broader S&P 500 fell 3.7%.
The Nasdaq compound, heavy in technology, fell 3.3%.
Banks are lowering their earnings expectations for US stocks, which is not helping the market.
“We believe that the trajectory of quarterly earnings will be more important than year-round figures,” said Jonathan Golub, chief strategist at Credit Suisse in U.S.
Golub said the company’s first quarter earnings should be positive, although weaker, before the earnings are negative in the second quarter. He added that the profits will recover by the end of 2020.
Earlier in the day, Goldman Sachs cut its earnings forecast for the S&P 500.
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