Rally Fizzles to Mild Losses

Traders worry non-financial stocks may still feel recession's bite
By Nick McMaster,  Newser Staff
Posted Oct 14, 2008 3:20 PM CDT
A pair of traders work on the floor of the New York Stock Exchange today.   (AP Photo)
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(Newser) – Stocks closed lower today after an earlier rally died down as worries about consumer-discretionary and tech stocks overcame investors’ faith in global actions to quell the credit crisis, the Wall Street Journal reports. The Dow, up nearly 400 early, ended off 76.62, to 9,310.99. The Nasdaq, especially hard hit, lost 65.24 to close at 1,779.01. The S&P 500 dropped 5.35 to 998.00.

Shares of Pepsi, Coke, Microsoft and Intel all fell as weak earnings reports dropped expectations for firms dependent on consumer largesse—not government bailout. Citigroup and Bank of America, two firms that will benefit directly from the $250 billion capital-injection plan, were up 19.05% and 16.15%, respectively.