Stock Market January-15 2009

Stocks tank on lousy retail sales, worries about banks
Congress OKs release of final $350B of bailout
Nortel files for bankruptcy

A blood-red day on Wall Street ended with deep losses across the board — stocks, bond yields, oil, precious metals, the dollar. Any guesses why?

The Dow Jones lost 2.9% (248 points) to close at 8,200. The S&P 500 dropped 3.3% (29 points) to 842. The Nasdaq tumbled 3.6% (56 points) to 1,489. The Russell 2000 swooned 4.3% (20 points) to 453.

Briefing.com noted with an hour to go that roughly 93% of the companies in the S&P 500 were in the red, as were all 30 components of the Dow.

The day's pile driver? The Commerce Department's report showing retail sales in December dropped 2.7%. Analysts had predicted a 1.2% decline. It was the sixth-straight monthly decline, a record. Don't forget the main pillar of our way of life: "Consumer spending accounts for more than two-thirds of U.S. economic activity."

Another daily downer for investors was the growing worry that Citigroup is still foundering and might not survive. Recall that yesterday Citi sold a controlling share of its Smith Barney brokerage to Morgan Stanley for $2.7 billion.

“The economy is going to feel really bad and we’ll continue to get negative headline news,” Eric Green, director of research at Penn Capital Management, told Bloomberrg. “There’s massive stimulus that we’ve never seen before coming. That will help the consumer.”

http://blogs.usatoday.com/ondeadline/2009/01/stocks-tank-o-1.html
http://new.quote.com/us/stocks/chart.action;jsessionid=abcuUw4QojGWE6U6PVD7r?s=%24INDU
http://abcnews.go.com/Business/marketdetails

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