Stocks (Worldwide) Tumble as Recession Appears to Worsen

[biopowertoday]

Source: WPost


Stocks Tumble as Recession Appears to Worsen


By Tomoeh Murakami Tse and Alejandro Lazo
Washington Post Staff Writers
Tuesday, February 17, 2009; 5:07 PM

Heightened concerns about a deep and prolonged global recession lead to a sharp decline in stock markets around the world today, with the Dow Jones industrial average approaching lows reached during the tech bubble crash seven years ago.

The picture was ugly, with investors everywhere -- from Hong Kong to San Paulo to London participating in the sell-off. Instead, the investors fled to safe-haven investments such as U.S. Treasuries and gold, sending those prices sharply higher.

With all but one of its stocks in the red, the Dow closed down 297.81 points, or 3.8 percent, to 7,552.60, within 300 points of the market bottom on Oct. 9, 2002. The Standard & Poor's 500-stock index, a broader market measure, lost 4.6 percent to close at 789.17. The tech-heavy Nasdaq composite index fell 4.2 percent, to 1,470.66.

The plunge came despite President Obama signing the $787 billion economic stimulus package, highlighting investor concerns about just how effective the package will prove. Investors are also worried about the Treasury Department's plans to clean up billions of dollars in toxic troubled mortgage assets from the balance sheets of major banks. Financial stocks lead the market lower Tuesday, with Bank of America, Citigroup and J.P. Morgan Chase each declining by 12 percent.

Read more: http://www.washingtonpost.com/wp-dyn/content/article/2009/02/17/AR2009021701117.html?hpid%3Dtopnews&sub=AR

[pasto76]

1. See? proof that the stimulus isnt working!

thats what Ive been reading on republican sites today......even before it was signed into law.

When economy is good under democratic president, its because of the previous republican admin.

When the economy is poor under republican, it is because of the previous democratic admin.

By their logic, bad economy under democratic president is because of the previous republican admin.....except it isnt. Somehow right now economics dont take months to see an effect!

[Double T]

2. It's got nothing to do with rethugs, Dems or any other political party.

Stimulus and bailouts are only masking the underlying severe problem with our spiraling downward economy. A country can not outsource a huge segment of its consumer products manufacturing and support services centers without creating a devastating result to its economy. The silence about this very subject from our washington legislators and leaders is astounding. Our core economy has been transplanted to countries on the other side of the world; suggesting stimulus will make it different is seriously insane.

[durablend]

3. We need more tax cuts for the rich, dammit!!!!!!!

Those cure all ills!!!!!!

:sarcasm:

[Double T]

5. I feel SOMETHING trickling down my leg and it hasn't got anything to do..........

with money.

[biopowertoday]

4. That does not account for the worldwide fear. I sincerely

hope that the stim. bill gives us the boost we need.