The U.S. stock market saw a sharp downturn on Wednesday, with the Dow Jones Industrial Average tumbling around 700 points. The S&P 500 and Nasdaq Composite also dropped significantly, as investors reacted to a series of negative news.

Nvidia saw a jump in its share price after reporting better-than-expected earnings, helping to offset the losses elsewhere. However, the gains were not enough to stop the S&P 500 from testing critical support levels.

The tech sector, which had been a key driver of the market’s rally, was particularly hard hit. Home Depot and Baidu were among the biggest decliners, as investors grew increasingly concerned about the economic outlook.

The market’s losses were compounded by a sharp decline in investor optimism. According to the Financial Times, the market’s declines were “driven by a combination of weak economic data and worries about the impact of the coronavirus on global growth.”

Despite the market’s losses, analysts remain cautiously optimistic about the outlook for the rest of the year. Many believe that the recent selloff may have been overdone, and that the market could rebound in the coming weeks.