Here's what happened to the stock market on Wednesday

A view of the Wall Street street sign with the New York Stock Exchange during the coronavirus pandemic on May 25, 2020 in New York City.
Noam Galai | Getty Images

Dow Jones Industrial Average plunges 710 points

The Dow dropped 710.16 points, or 2.72%, to 25,445.94. The S&P 500 slid 2.58% to close at 3,050.33. The Nasdaq Composite closed 2.19% lower at 9,909.17 Several states reported big spikes in coronavirus cases, raising concern over the economic recovery.

Covid cases jump in Florida, California and Texas

Florida said its confirmed cases jumped by 5,508 on Tuesday, a record, and now total 109,014. The state also said its positivity rate rose to 15.91% from 10.82%. California, meanwhile, added more than 7,000 cases on Tuesday. In Texas, the number of Covid-19 cases jumped by 5,489. Meanwhile, New York, New Jersey and Connecticut ordered visitors from certain hotspot states to quarantine for 14 days.

Reopening trade falters

Shares of companies benefiting from the economy reopening lagged on Wednesday. United Airlines, Delta and American all fell at least 7%. Carnival and Norwegian Cruise Line slid 11.11% and 12.37%, respectively.

What happens next?

Durable goods orders data and weekly jobless claims numbers are set for release Thursday. Rite Aid and Darden Restaurants are scheduled to report earnings along with Nike.

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