Bad News Pummels Stocks

AIG, Citi, oil spook investors; even commodities look less safe in downturn
By Nick McMaster,  Newser Staff
Posted May 9, 2008 3:28 PM CDT
Martin Sullivan, president & CEO of AIG, at the New York Stock Exchange, in this June 23, 2005 file photo.   (AP Photo/Richard Drew, file)
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(Newser) – Stocks performed poorly today, battered by another new oil high and bad news from AIG and Citigroup, Bloomberg reports. The Dow lost 120.90 to end at 12,745.88, with a weekly loss of 2.4%. The S&P 500 shed 9.50 to 1,388.28, while the Nasdaq dropped 5.72 to settle at 2,445.52.

Even with record crude prices, shares of Exxon Mobil led a fall in energy shares. "Oil and commodities have been a safe place to hide while the market was melting down,'' one analyst said. "In the face of a global slowdown, is the demand going to be there two months or six months from now?"