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U.S. Stocks Drop, S&P 500 Sinks Most Since 2001 Terror Attacks

Discussion in 'Shares' started by Tropo, 16th Sep, 2008.

  1. Tropo

    Tropo Well-Known Member

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    Location:
    NSW
    U.S. Stocks Drop, S&P 500 Sinks Most Since 2001 Terror Attacks

    Sept. 15 (Bloomberg) -- U.S. stocks tumbled, pushing the Standard & Poor's 500 Index to the steepest drop since the September 2001 terrorist attacks, as Lehman Brothers Holdings Inc.'s bankruptcy and declining commodities increased speculation that credit-market losses and the economic slowdown will worsen.
    Lehman plunged 94 percent and American International Group Inc. sank 61 percent after more than $25 billion in losses from subprime-related investments in the last four quarters made with mostly borrowed money. Economic concerns pushed down oil, prompting a drop in energy stocks, and sent General Electric Co. to an 8 percent retreat. Stocks erased more than $600 billion in value as financial shares in the S&P 500 decreased the most since at least 1989, according to data compiled by Bloomberg.
    ``Fear is in charge,'' said Henry Herrmann, president and chief executive officer of Waddell & Reed Financial Inc. in Overland Park, Kansas, which manages $70 billion. ``This blows another hole in the banking system's ability to extend credit.''
    Bloomberg.com: Worldwide
     
  2. Alan

    Alan Well-Known Member

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    Futures pointing to a fall of about 111 this morning......
     
  3. AsxBroker

    AsxBroker Well-Known Member

    Joined:
    8th Sep, 2007
    Posts:
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    Location:
    Sydney, NSW
    It's going to be very messy!

    Dow 10918 -504.48 (-4.42%)
    Nasdaq 2180 -81.36 (-3.60%)
    S&P 1193 -59.00 (-4.71%)

    According to CNN.

    I would have thought our market would drop around the 3% to 4% which would be at least 150 to 200 points.

    Cheers,

    Dan