Stock market's terrible start to 2016 just got worse : Oil in Freefall

Video created by katie.mehnert Champion on Feb 8, 2016

    Fear continues to reign on Wall Street.

    The stock market's terrible start to 2016 got even worse on Monday, with the Dow shedding 178 points and the S&P 500 losing 1.4%.

    The Nasdaq tumbled 1.8% and got closer to sinking into its first bear market since the one sparked by the financial crisis. The index is now down 14.5% this year.

    "It's just a stampede of selling," said Art Hogan, chief market strategist at Wunderlich Securities.

    The good news is that the markets did make a big comeback from the worst levels of the day. At one point the Dow was down 401 points and the Nasdaq was off 3.4%.

    "There's too much fear and too little greed right now," said David Kelly, chief global strategist at JPMorgan Funds.

    Wall Street was once again spooked by the crash in oil prices. Oil fell another 3% and dropped back below $30 a barrel.

    Cheap oil is great for consumers but its dramatic downfall continues to alarm investors who fear it signals that something isn't quite right about the health of the broader economy.

    Energy stocks continue to tank, with Transocean (RIG) dropping 7% and Baker Hughes (BHI) down nearly 5%. But those losses pale in comparison with Chesapeake Energy (CHK), the energy giant that plummeted as much as 51% amid bankruptcy fears. Chesapeake denied it's currently planning to file for bankruptcy, but its stock still closed down 33% on the day.