Dow Jones plummets after opening bell, coronavirus fears to blame

MILWAUKEE -- Coronavirus fears hit the stock market for another week as the Dow and the S&P plummeted after the opening bell Monday, March 9.

Taking the biggest hit -- oil prices -- which plunged 30% amid growing concerns over a dispute between oil-producing countries like Russia and Saudi Arabia.

"A lot of people are panicking," Financial Advisor Brad Allen said. "Because nobody knows how it's going to affect the global markets at this point."

Brad Allen

Allen says 401Ks will fluctuate in the short term, but it's the long-term impact that people should be thinking about.

"You just want to take a look at what you have," Allen said. "It might not be the right time to change anything right now, but you want to sit down with a financial advisor, someone who can walk you through where you should be with risk, where you are right now, and how you get yourself there."

On March 3, the Federal Reserve announced an emergency rate cut to cushion the economic blow of the virus.

Bill Walker

"The biggest impact is obviously leisure travel," said Bill Walker, a Marquette University investment instructor. "You hear about cruise lines. International travel has collapsed. Domestic travel is being impacted now."

Walker believes lower interest rates coupled with lower prices at the pump should drive the market back up.

"With low prices on oil, we just gave a tax cut to the consumer," said Walker. "With lower interest rates, the lowest interest rates since 2008, we've also given the consumer another benefit."

The Federal Reserve meets March 17-18 to potentially cut interest rates again.