The debt deal rally lasted all of 30 minutes. After gaining 139 points minutes after the market opened today, the Dow Jones industrial average fell sharply after a key manufacturing index tumbled in July. As of 12:30pm ET, the Dow was down 118 points, to 12,025, while the Nasdaq was off around 35 and the S&P 500 down around 16.
The Institute of Supply Management this morning announced that its manufacturing index fell to 50.9, barely above the 50-point figure that indicates growth. Economists had been expecting a much higher reading of 55.