Stocks Plunge 600, Rebound

Two bleak reports raise fears about recovery

(AP) - Fears that the US economy is stalling sent the Dow Jones industrial average down 280 points, erasing more than a quarter of the stock market's gains for the year. A pair of reports raised new doubts about the economy's strength: A key manufacturing index fell from its April level, and private employers added just 38,000 jobs in May, according to payroll processor ADP. Analysts had expected a growth of 180,000. More»

Dow off more than 200 after Nikkei falls 11%

(NEWSER) - Stocks around the world plummeted today, thanks to huge losses in Japan, where the Nikkei Stock Average fell a whopping 11%, completing its biggest two-day drop since 1987. That prompted big Asian and European sell-offs, especially in Germany, where the DAX 30 fell 4.5% in interday trading. In the US, the Dow opened off 246 points, likewise, the S&P shed 33 and the Nasdaq fell 64, according to the Wall Street Journal . More»

Growth fits economists' predictions

(AP) - The economy grew slightly faster over the summer as Americans spent a little more freely: The GDP grew at a 2% rate during the third quarter, in line with what economists had forecast. It marks a slight improvement over last quarter, when the GDP grew at a 1.7% rate. Consumers helped boost last quarter's economic growth with 2.6% growth in spending, the biggest quarterly increase since the end of 2006, before the recession hit. More»

2009 the best year for the market since 2003

(NEWSER) - Stocks are expected to rise this week, capping off Wall Street’s best year in recent memory. It’s the first time in two years that stocks have posted annual growth, and for the S&P 500, it could be the best year since 2003. Though the economy is far from healthy, investors think economic indicators will keep improving, Reuters reports. “There’s an upward bias,” says the head of one investment firm. More»

(NEWSER) - Stocks hit the brakes hard this morning, after the Obama administration’s auto task force panned GM and Chrysler’s proposed reconstruction plans. The Dow was down 298 points by late morning, while the S&P and Nasdaq had tumbled 59 and 31 points respectively. GM plummeted 25%, falling below $3. Financials, meanwhile, were falling, in response to huge selloffs overseas. The Nikkei fell 4.5%, the Hang Seng 4.8%, and the Sensex 4.9%. More»