With pockets of Coronavirus outbreak now being detected in Europe, Asia, and the Middle East, the CDC has warned that viral activity in the United States is inevitable.

The latest comments on the highly contagious respiratory disease come from Nancy Messonnier, the CDC Director of the National Center for Immunization and Respiratory Diseases.

This latest news coincides with a major slide in the financial markets. The Dow Jones just recorded its biggest two-day loss in history, sending a warning sign to investors and anyone who is observing the wider economy.

The Virus is Spreading Through Communities in Highly Developed Nations

As of today, most Coronavirus activity is limited to China. 99% of all detected cases have been on the Chinese mainland.

However, the recent community spread in South Korea and Italy has raised global concerns. As of today, there are only 53 confirmed U.S. cases. This number could increase in the coming weeks.

Messonnier said in a call with reporters this week that “Ultimately, we will see community spread in this country. It’s not a question of if, but rather a question of when and how many people in this country will have severe illness.”

The CDC doesn’t want to create panic and has reassured the public that it is doing all it can to prepare for the virus. Messonnier said in her statement that “CDC is concerned about the situation but we are putting our concerns to work preparing. Now is the time for hospitals, schools, and everyday people to begin preparing as well.”

Steps taken by the CDC include working with state and local authorities to promote telework for professionals (work from home) and discouraging any unnecessary public gatherings. If the virus spreads, cities and states may cancel outdoor and indoor events with large attendance numbers.

How Have the Markets Responded?

The fear of Coronavirus spread has rattled investors on wall street. The Dow Jones dropped 929.92 points on Tuesday, after falling 1031.61 on Monday.

The S&P 500, a major U.S. benchmark, has lost $1.7 trillion in value over the last two days.

This has brought the stock market to a sobering halt, after months of breakout gains and plenty of bullish momentum. While there’s no guarantee that the current declines will be long-lasting, it’s still a reminder that investors should aim to diversify their portfolios wherever possible.

More importantly, panic selling should be avoided until we see any real impact of the Coronavirus on the underlying strength of the American economy.