U.S. equity markets were under severe pressure Monday morning following a surge in the number of coronavirus cases outside China.

The Dow Jones Industrial Average plunged as many as 996 points, or 3.4 percent, at the open while the S&P 500 and Nasdaq were lower by 3.1 percent and 3.9 percent, respectively. The early selling dropped the Dow into negative territory for 2020.

The barrage of selling came after South Korea, the country with the third-most cases, reported 161 new cases on Monday, raising its total number of cases to 763 and its death toll by two to seven. Italy and Iran said their number of new cases jumped to 152 and 43, respectively.

Meanwhile, China’s National Health Commission reported 409 new cases and 150 new deaths on Monday, raising those totals to 77,150 and 2,592, respectively.

The updated figures came after Chinese President Xi Jinping warned the outbreak would deliver a blow to the Chinese economy.

"The outbreak of novel coronavirus pneumonia will inevitably have a relatively big impact on the economy and society,'' Xi said, adding the crisis is a “big test” for Chinese leadership.

Looking at stocks, travel-related names were sharply lower. Delta and United airlines were weaker along with cruise operators Carnival Corp. and Royal Caribbean and casino operators Wynn Resorts and MGM Resorts International. Read more at FOX Business