Dow Drops 750 Points Following UnitedHealth Stock Plunge and DOJ Probe Report

The Dow faces its worst day of 2025 as UnitedHealth Group’s stock tumbles amid reports of a federal investigation into Medicare billing practices.

The Dow Jones Industrial Average fell 1.7%, or approximately 750 points, largely driven by a sharp decline in UnitedHealth Group's stock price.
UnitedHealth shares dropped up to 12.7% during the day before closing 7% lower, marking the company's worst percentage drop since October 2024.
The Wall Street Journal reported that the Department of Justice is conducting a civil fraud investigation into UnitedHealth's Medicare Advantage billing practices, which the company denies.
UnitedHealth's Medicare Advantage plans reportedly generated significant additional payments by documenting diagnoses that may not have been treated, raising DOJ concerns about improper billing practices.
The broader market also saw declines, with the S&P 500 falling 1.7% and the Nasdaq dropping 2.2%, as volatility spiked due to the expiration of $2.7 trillion in options contracts.