European markets plunge at opening bell as stock market turmoil continues

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On Monday, the Dow fell 1,200 points-it's biggest single-day point loss in history-but the index then regained much of what it had lost by Wednesday.

"The most important thing to remember is the stock market is not the economy". "Unlike Vegas, however, if you diversify your holdings and hold a stock for long periods, you'll gain".

A wild session on Tuesday had seen the Dow swing more than 1,100 points from peak to trough and finally end with the benchmark S&P 500 recording its best day since just before President Donald Trump's election victory in 2016. The Nasdaq Composite was down 274 points, closing at 6,777.16, and the S&P 500 lost 100 points to close at 2.581.

"We can not go straight up or straight down. we need both buyers and sellers to really pull and find the right place where our market should be at", said Jonathan Corpina, a trader at the New York Stock Exchange. After the bill was passed, the Dow raced to record highs, hitting 26,616.71 on January 26.

"Ten percent is the theoretical correction", said David Lutz of Jones Trading. The markets have heated up in the past year, and some saw yesterday's downturn as a needed correction.

He says it's hard to say right now where the stock market is headed.

But Benjamin Reitzes of BMO Capital Markets highlighted in a note that while the points decline was a record, "on a percentage basis, it's the 28th largest drop since 1947".

That was its biggest loss since August 2011, when stocks were reeling as investors were fearful about European government debt and the USA had its credit downgraded after the debt ceiling impasse.

Of the index's 10 main groups seven were in positive territory.

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At 9:49 a.m. ET (1449 GMT), the Dow Jones Industrial Average (.DJI) gained 0.25 percent to 24,406.14.

Here's what you need to know about what's going on with the stock market. They also experienced corrections.

"The President's focus is on our long-term economic fundamentals, which remain exceptionally strong".

"Really what happened today was we gave back a lot of the gains we got from the beginning of the year", said Justin Halverson.

Traders work at the New York Stock Exchange in New York City, Feb. 5, 2018.

In the United States, stocks briefly entered correction territory on Tuesday morning before roaring back into the green.

The market had closed down 1.7 per cent on Monday, hitting its lowest level since mid-September.

The pivotal gauge of the S&P 500 volatility, the VIX, opened at a relatively elevated 31 points and later slipped to 21.24.