A new wave of lockdowns and business closings swept across France, Germany and other places in Europe on Wednesday as surging coronavirus infections there and in the U.S. wipe out months of progress against the scourge on two continents.
The resurgence and the resulting clampdown sent a shudder through Wall Street. The S&P 500 fell 3.5%, its biggest drop since June, and the Dow Jones Industrial Average lost 943 points, or 3.4%.
French President Emmanuel Macron declared a new nationwide lockdown starting Friday, saying the country has been “overpowered by a second wave.” Many doctors had urged the move, given that 58% of the nation’s intensive care units are now taken up by COVID-19 patients.
In Germany, Chancellor Angela Merkel announced a four-week shutdown of bars, restaurants and theaters. “We must act, and now, to avoid an acute national health emergency,” she said.
Countries such as Switzerland, Italy, Bulgaria and Greece have closed or otherwise clamped down again on nightspots and imposed other restrictions such as curfews and mandatory mask-wearing. Madrid and other parts of Spain banned all but essential travel in and out of their regions.
“We are deep in the second wave," European Commission President Ursula von der Leyen said. “I think that this year’s Christmas will be a different Christmas."
In the U.S., where practically every state is seeing a rise in cases, Democratic Gov. Tony Evers of hard-hit Wisconsin has been reduced to pleading with people to stay home, after an order he issued in the spring was overturned by the courts. Illinois' governor banned indoor dining and drinking in Chicago this week. Other states are likewise considering reimposing restrictions.
The virus has killed more than 250,000 people in Europe and over 227,000 in the U.S., according to the count kept by Johns Hopkins University.