BLACK MONDAY: Dow down nearly 900 points, Nasdaq tanks 4%, panic sets in

Monday was a bloodbath. Markets crumbled, with the Dow plunging nearly 900 points, the S&P 500 closing below its 200-day moving average for the first time since November, and the Nasdaq experiencing its worst day since 2022. This wasn’t a dip. It was a full-blown meltdown.

The sell-off, now in its third week, escalated as panic spread about recession risks. Investors watched helplessly as major indexes collapsed. The S&P 500 closed at 5,614.56, down 2.7%, its lowest since September. The Nasdaq got hit the hardest, tanking 4% to close at 17,468.32 — the worst since September 2022.

The Dow? Absolutely wrecked. Nearly 900 points gone, a 2.08% drop to 41,911.71. At one point, the Dow was down over 1,000 points. That’s not just volatility. That’s real fear kicking in.

Tech stocks were slaughtered. The Nasdaq 100 alone plummeted nearly 5% in one day. Some of the biggest names in tech had their worst day since 2020. For context, the Nasdaq Composite is now down almost 14% from its recent high. Wall Street calls a 10% drop a “correction.” This is starting to feel like something worse.

What’s fueling this? Uncertainty. Over the weekend, President Donald Trump didn’t rule out the possibility of a recession, and the market responded like it was already here. Investors dumped stocks like hot potatoes. The tariff war, policy instability, and fears of economic slowdown all collided at once. The result? Pure chaos.

By late afternoon, there was a brief bounce off the lows, but the damage was done. The S&P is now down 8.7% from its February 19 high. The Nasdaq is off nearly 14%. Anyone who thought 2024 would be a smooth ride just got punched in the face.

Even the so-called “safe” blue-chip stocks couldn’t hold ground. Selling pressure was everywhere. For those who remember Black Monday in 1987, this felt eerily familiar. One minute you’re checking your portfolio, the next it’s worth 10% less.

What’s even scarier is that there’s no clear catalyst to reverse this slide. The economy is still fragile, the Fed’s boxed in, and recession whispers are turning into screams. Investors are asking themselves: Is this the beginning of something much, much worse?

This kind of panic doesn’t just fade overnight. It lingers. It festers. And the fact that the S&P broke its 200-day moving average? That’s a major technical red flag. Once it goes, things tend to get worse before they get better.

The hard truth? We could be witnessing the start of a full-on market collapse. The bubble of the past year — fueled by hype, easy money, and blind optimism — is deflating in real-time.

JUST IN 🚨: S&P 500 will close below its 200D moving average for the first time since November 2023 📉 pic.twitter.com/Gr6G51nqOE

— Barchart (@Barchart) March 10, 2025

BREAKING: The Dow Jones Industrial Average is now down over -1,000 points on the day.

The Nasdaq 100 is nearly -5% in one day with multiple tech stocks on track for their worst day since September 2020. https://t.co/xmsWHSnoe4 pic.twitter.com/O404OzYzKf

— The Kobeissi Letter (@KobeissiLetter) March 10, 2025