The Dow Jones Industrials slumped 582.05 points, or 3%, to 18,591.93. The 30-stock average also hit its lowest level in three years
The broader S&P 500 fell 67.52 points, or 2.9%, to 2,237.40
The NASDAQ came off its lows of the day, bur finished negative 18.84 points to 6,860.67.
For a second time in less than 24 hours, a bill that would authorize giant fiscal spending to stimulate the economy failed to clear a key procedural hurdle. Earlier on Monday, Treasury Secretary Steven Mnuchin told reporters that Congress was “very close” to getting a fiscal package done, noting it must be pushed forward “today.”
Senate Minority Leader Chuck Schumer, D-NY, said he and Mnuchin would meet to try and work out a deal.
The failed votes in the U.S. Senate were enough to pressure Wall Street once again even after the Federal Reserve announced an open-ended asset purchase program, which the central bank will run in the “amounts needed to support smooth market functioning and effective transmission of monetary policy to broader financial conditions and the economy.”
Boeing shares rose 11%, outperforming the market, as Goldman Sachs made a bold call Sunday evening, telling clients the company had enough cash to survive the coronavirus downturn and that air travel would eventually return.
The stock also jumped after Boeing announced it will close Seattle-area factories due to the outbreak. The shares are off 66% this year. The aerospace giant also suspended its dividend.
Prices for the 10-Year U.S. Treasury gained ground, lowering yields to 0.79% from Friday’s 0.88%. Treasury prices and yields move in opposite directions.
Oil prices recovered 89 cents to $23.52 U.S. a barrel. Gold prices increased $76.70 to $1,561.30 U.S. an ounce.