The Dow Jones Industrial Average plummeted today amid investor fears of rising interest rates and a disruption in the health care market. The blue-chip index closed down 361 points, or 1.37%, to 26,078 — the second day of triple-digit declines and the worst daily drop since August.
“America is open for business, and we are competitive once again,” Trump said in a speech last week at the World Economic Forum in Davos, Switzerland, that previews tonight’s remarks.
Indeed, the S&P was off to a robust start to the year, thanks to healthy corporate earnings, a new, lower federal tax rate and a strengthening economy.
But investors freaked out today following reports that Amazon, Berkshire Hathaway and JPMorgan Chase plan to form a company to tackle health care costs for their employees — an announcement that triggered a selloff of health-care stocks.
Meanwhile, the 10-year U.S. Treasury note reached 2.73% — a sign that investors see a risk of rising inflation.