Coronavirus US news: 'Dow erases all its gains since Trump took office' as it’s revealed outbreak could kill 2 million

Trump defends using name 'Chinese virus': It's not racist - it comes from China'

The stock market has suffered yet another historic day of losses as the Dow Jones reportedly lost the entirety of economic gains seen under Donald Trump’s presidency amid increasing anxieties over the global coronavirus pandemic.

The US Centre for Disease Control meanwhile released a grim outlook for a worst-case scenario surrounding the pandemic, in which 214 million people would be impacted and nearly two million would die as a result of the outbreak. The Trump administration released its own plan-of-action while seeking a nearly $1 trillion economic relief package that could include sending checks to all Americans in the coming weeks to help battle back against the economic downturn.

The number of total cases in the US surpassed 7,000 on Wednesday, according to the latest data, as the death toll rose to at least 117. Experts have said the true rate of infections is likely far higher nationwide, citing a lack in testing.

Stocks tumbled close to 8 percent on Wall Street Wednesday and wiped out the last of the gains for the Dow Jones Industrial Average since Mr Trump's inauguration.

Even prices for investments seen as very safe fell as investors rushed to raise cash and the coronavirus pandemic continues to spread.

Markets have been incredibly volatile for weeks as Wall Street and the White House acknowledge the rising likelihood that the outbreak will cause a recession.

The typical day this month has seen the stock market swing up or down by 4.9 percent. Over the last decade, it was just .4 percent.

It was just a day before that the Dow surged more than 5 percent after Mr Trump promised massive aid to the economy, but the number of infections keeps climbing, and the Dow slumped to its lowest level since 2016.

The S&P 500, which dictates how 401(k) accounts perform much more than the Dow, is down 31 percent from its record set last month, though it's still up nearly 9 percent since Election Day 2016.

The S&P 500's slide was so sharp that trading was halted for 15 minutes Wednesday. The losses deepened after trading resumed, and the S&P 500 was down 7.9 percent, as of 3:20 pm. Eastern time.

As big swaths of the economy retrench while much of society comes to a halt in an attempt to slow the spread of the virus, investors have clamored for Congress, Federal Reserve and other authorities around the world to support the economy until it can begin to reopen.

They got a big shot of that Tuesday, when the Trump administration briefed lawmakers on a program that could surpass $1 trillion and the Fed announced its latest moves to support markets.

But the worldwide number of known infections has toped 200,000, which creates more uncertainty about how badly the economy is getting hit, how much profit companies will make and how many companies may go into bankruptcy due to a cash crunch.

"It's, it's a very tough situation", Mr Trump said at a news conference, during which losses for stocks accelerated.

He added: "You have to do things. You have to close parts of an economy that six weeks ago were the best they've ever been.... And then one day you have to close it down in order to defeat this enemy."

Additional reporting by AP. Read live updates as they came in below:

Key Points

• President repeats 'China Virus' slur and hails his outbreak response
• New warning suggests inaction could cost 2.2m American deaths
• Trump mulls sending illegal immigrants back to Mexico over virus
• US federal rescue package could top $1trn
• Joe Biden secures primary wins in Arizona, Illinois and Florida

[18 March 2020 20:09 · Chris Riotta]

This concludes today's live coverage. Be sure to check back tomorrow as The Independent brings you the latest.