MarketWatch: Stocks post sharp weekly losses; bear market nears

[marmar]

Stocks post sharp weekly losses; bear market nears
Major U.S. stock indexes off nearly 20% from highs as oil tops $142 a barrel
By Nick Godt, MarketWatch


NEW YORK (MarketWatch) -- Stocks finished the Friday session and the week sharply lower, with surging oil prices, ailing financials and concerns about the economy catching up to a market that has now fallen nearly 20% from its 2007 high, marking an official entry into bear-market territory.

With crude hitting a new intraday high at $142.99 a barrel, the market grew increasingly worried about the impact of surging commodities prices on consumers. See Futures Movers. In morning trade, a survey by the University of Michigan revealed consumer confidence slid further in June. See full story.

"With oil prices bursting through the $140 threshold and seemingly unstoppable, economists are busily debating whether it's all going to end in fire (inflation) or ice (deep recession)," said Doug Porter, senior economist at BMO Capital Markets.

"Equity markets aren't so concerned about the fineries of the debate, but are instead much more focused on the 'it's all going to end' portion of the discussion," he wrote in a note.
After plunging 358 points on Thursday, the Dow Jones Industrial Average fell another 106 points, or 0.9%, to 11,346 on Friday.

After sliding 4.2% this week, the Dow has now lost nearly 20% since its Oct. 9, 2007, record high of 14,165. The blue-chip index is also on track for its worst month of June since 1930. .....(more)

The complete piece is at: http://www.marketwatch.com/news/story/us-stocks-post-sharp-weekly/story.aspx?guid=%7BBF87D3AD%2D9956%2D47D2%2DB305%2DCC3A015D6D22%7D

[Warpy]

1. "Nears???"

Damn, these overpaid, blowdried, empty bobbleheads sure are something.

[shugah]

2. i watch CNBC often

i spend much of that time shaking my head. the people who are paid to talk endlessly about "the market" are so clueless about so much else. i understand that they are the experts, but when ever they talk about consumers, they refer to "the consumer" as if it is some abstract variable of "the market." i don't know how often i find myself telling my television "if 'the consumer' had a job and could afford gas and food with a little left over, 'the consumer' would be better able to consume, thus making your little bubble market world ever greener and bullish."

it amazes me, really, that the hedgefunds, speculators, etc - whoever it is that is driving the market - has been able to keep it propped up for as long as they have.

[nadinbrzezinski]

3. Reality is STARTING to his these talking heads in the head

it has been hitting them for months but finally it is making an impression

[ixion]

4. fire or ice... or both: stagflation

they conveniently overlook that option, which is probably because it's exactly where we're headed.