Stocks tumbled Friday after President Donald Trump said he tested positive for the coronavirus and the U.S. added fewer jobs in September than forecast.
The Dow Jones Industrial Average fell 173 points, or 0.63%, to 27,642, the S&P 500 declined 0.77% and the Nasdaq dropped 1.19%.
Just before 1 a.m. ET Friday, the president posted via Twitter that he and first lady Melania Trump tested positive for the novel coronavirus, adding that the two “will get through this together.”
Hours earlier, he had revealed that Hope Hicks, his adviser, also tested positive for Covid-19.
Reports Friday said Trump’s symptoms were mild.
The announcement early Friday from Trump comes as big cities across the U.S., such as New York, have seen a spike in coronavirus cases. Nearly 7.28 million cases of the virus have been confirmed in the United States, with more than 207,800 deaths, the most in the world.
The announcement also comes with the presidential election just 33 days away.
“The news of President Trump contracting Covid-19 may completely change the direction of the campaign and adds to our already cautious outlook on the stock market,” said James McDonald, CEO of Hercules Investments in Los Angeles.
“President Trump contracting the coronavirus will elevate institutional money’s preparation for a Democratic White House and all the tax, trade and budget implications that go along with it. We expect institutional investors to start de-risking portfolios and increasing hedges in preparation for market volatility,” McDonald added.
Vice President Mike Pence and his wife, Karen, tested negative for Covid-19, a spokesman said.
The toll the pandemic has taken on the U.S. labor market was evident Friday after the Labor Department said U.S. employers added a less-than-expected 661,000 jobs in September.
Economists surveyed by FactSet expected the U.S. to have added 857,500 jobs in September, lower than an upwardly revised August tally of 1.49 million. The unemployment rate fell to 7.9%, below estimates of 8.2%.
Jobs gains have been slowing over the past four months. The U.S. added 4.8 million jobs in June and 1.7 million in July.
Meanwhile, the House of Representatives passed a slimmed down $2.2 trillion stimulus package that won’t be considered in the Senate, , adding to doubts over any near-term relief for the millions of Americans who have lost their jobs during the pandemic.
Tesla said deliveries for the three months ended in September were 139,300, just ahead Wall Street estimates.The third-quarter total compares to a 90,650 tally for the three months ended in June. That still leaves Tesla needing to shift 166,000 cars – another record – over the final three months of the year to meet its 2020 estimate of 500,000.
Tesla shares fell 3.36%.
This article was originally published by TheStreet.