Dow rebounds, recoups 1,100 points from Monday's big losses

Stocks rose steeply Tuesday following the historic losses Monday that were triggered by plummeting crude oil prices and coronavirus fears.

The Dow Jones Industrial Average gained over 1,100 points, after losing over 2,000 points on Monday, the largest point drop ever for the index.

The Dow, S&P 500 and Nasdaq composite all rose nearly 5 percent Tuesday.

The gains followed President Trump on Monday night saying he would appeal to Congress to help ease market fears by asking members to temporarily suspend the payroll tax and provide other economic measures. 

Trump met Tuesday with congressional Republicans, but no plan was released. 

“I don’t think any decision whatsoever has been made," said Louisiana GOP Sen. John Kennedy told The Washington Post.

"Great meeting on Capitol Hill with @SenateGOP!" President Trump tweeted Tuesday afternoon.

“Fiscal stimulus is the antidote that can bridge the gap between what was happening before coronavirus and what will happen after it,” Brent Schutte, chief investment strategist for Northwestern Mutual Wealth Management, said according to CNBC. “It certainly can’t cure the virus, but it can help contain some of the economic fallout.”

“Today’s trading activity is the market trying to gauge whether the stimulus is going to be sufficient,” Schutte said.

On Monday, the Dow Jones Industrial Average and the S&P 500 each dropped over 7 percent. 

The Dow's percentage drop Monday was the largest since October 2008, while the Nasdaq Composite and S&P's percentage declines were the largest since December 2008.