Jobs Data Send Stocks Tumbling

By Kevin Spak,  Newser Staff
Posted Dec 5, 2008 8:54 AM CST
A specialist works at his post on the floor of the New York Stock Exchange, Monday, Dec. 1, 2008.   (AP Photo/Richard Drew)
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(Newser) – Stocks took a tumble at the open today, after a stunningly terrible payroll report showed that the US lost more than a half-million jobs in November, the 11th straight month of losses. The Dow fell 95 points, while the S&P and Nasdaq dropped 1% and 1.4% respectively, the Wall Street Journal reports. Treasuries shot up, with 30-year bond yields falling from already record lows.

Traders are betting that the employment figures will spur the Fed to cut interest rates, already at 1%, even lower. Futures have priced in about an 80% odds of a cut. The jobs numbers also sent the dollar to a six-week low against the yen, but it remained slightly stronger against the euro and pound.