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The Death of the Liberal Class

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Ear to the Ground

Worst Stock Market Slide Since 9/11

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Posted on Feb 27, 2007
Despondent man
news.yahoo.com

The stock market Tuesday had its worst day since 9/11 as investors around the world began to lose faith in the U.S. economy. The Dow fell by 4.3 percent, and S&P estimated total losses at $632 billion. The development came only a day after Alan Greenspan warned of a potential recession.


AP:

The Dow fell 546.02, or 4.3 percent, to 12,086.06 before recovering some ground in the last hour of trading to close down 416.02, or 3.29 percent, at 12,216.24, leaving it in negative territory for the year. Because the worst of the plunge took place after 2:30 p.m., the New York Stock Exchange’s trading limits, designed to halt such precipitous moves, were not activated.

The decline was the Dow’s worst since Sept. 17, 2001, the first trading day after the terror attacks, when the blue chips closed down 684.81, or 7.13 percent.

The drop hit every sector across the market, and a total of $632 billion was lost in total in U.S. stocks on Tuesday, according to Standard & Poor’s Corp. Riskier issues such as small-cap and technology stocks suffered some of the biggest declines, but big industrial companies, those that are often hurt the most in an economic downturn, also were pummeled, with raw materials producers among the hardest hit.

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By karen32, April 3, 2009 at 4:38 am Link to this comment

Well stock markets are never hundred percent safe, that’s why there is a risk on each investment we make. It’s our job to reduce that risk as much as possible and if that means taking professional classes then it’s the price we have to pay to keep our business going. I learned all the trading skills on online stock trading but still have a lot to catch up with.

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By Todd, February 28, 2007 at 3:59 pm Link to this comment
(Unregistered commenter)

Do you juvenile imbeciles have even the lease basic understanding of economics?

“Gee and China only sold 9% - what would happen if they sold 20% and continue to move their reserves to euro - oh my god” - - - China didn’t “sell” anything.  The value of the companies on their stock market (which is not a major market as it is) fell 8.8%.  You seem to think that they sold off US Treasuries or something.  I’m really not sure what the hell you meant.

“Sorry to say, there’s no silver lining here. Financiers pulled the plug on the US a decade ago, made off with the 4 Trillion Pentagon shortfall in the dark of night, just before 911, and now the spiral is picking up speed.  Hold your nose, here we go.”  - - ignorance is beautiful.

“The stock market has been involved in treason for decades now.” - - - Who’s drinking the Kool-aid??

““Booming economy” my ass - another bedtime fable from Bu$h Inc. finding it’s natural level.” - - - This is, in fact, one of the best economic periods of growth in US History.  If you are not feeling good about it, then maybe you should get off your communist ass, educate yourself, and find a job where you can make money.  Or else shut the hell up and quit whining.

“Big deal. Stock markets go up and stock markets go down. And they’ve been on a remarkably good roll recently, so a correction was overdue. I can’t believe that anyone would be too surprised at this.” - - - Finally, an intelligent voice in the wilderness!!

Do you people actually read your posts??  How in the world do you go from a 1-day stock market decline, which has already self corrected, to Bush will invade Iran??  Bu$h bedtime fable??  The Pentagon steally 4 trillion?  Are you nuts?

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By Christopher Robin, February 28, 2007 at 8:26 am Link to this comment
(Unregistered commenter)

BREAKING NEWS: AB

Greenspan now says he was having a exuberant reaction to his medications. Sorry, never mind!

Is he not satisfied with running the american worker down for decades? He’s got to take one big kick while out the door too? God, I thought that man would never leave or retire. That somehow they would preserve him aka “Evita” wheel him out and play recordings. How could you tell if he’s alive or not? Put a mirror to his mouth and see if he’s breathing? His lips never moved much anyway.

UPDATE: Everything must be fine. They have resumed full Anna Nicole coverage on all major news networks.

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By WCG, February 28, 2007 at 7:32 am Link to this comment
(Unregistered commenter)

Big deal. Stock markets go up and stock markets go down. And they’ve been on a remarkably good roll recently, so a correction was overdue. I can’t believe that anyone would be too surprised at this. It’s definitely not the end of the world - it’s not even a clue that the end is near, frankly. It’s mostly just a media event. If this worries you, you should definitely not be investing in stocks!

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By James Yell, February 28, 2007 at 7:06 am Link to this comment
(Unregistered commenter)

The stock market has been involved in treason for decades now. Profits have been increased by shipping production to third world countries where profits can be pumped up by using what amounts to slave labor and under paid labor, moving money off shore, avoiding environmental controls by moving off shore. Yes profits are huge, but do not reflect the long term damage being done to society, the environment (which is only one environment for all of us)and the unrealistic returns by investment.

Business is feeding on the muscle of production now as they attempt to maintain and increase un-natural high returns. Now they are having a bumpy ride, which sadly may effect all of us. Still I can’t feel sorry for them and it may only be an engineered device to allow manipulators to increase their holdings. In my opinion the stock market is just a pyramid scheme, legal though it may be.

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By Anita, February 27, 2007 at 10:00 pm Link to this comment
(Unregistered commenter)

I hope this is not the start of a bear market but just a correction. China’s Shanghai market has sightly risen up and that is a positive action.

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By Christopher Robin, February 27, 2007 at 9:21 pm Link to this comment
(Unregistered commenter)

First thing that sprang to mind was Greenspan’s comments from the day before. Yet tune in to CNBC and they listed a myriad of possible reasons, even including Cheney’s near miss. Everything but Greenspan’s comments were discussed. You know darn well, they were aware of them.

Seems the markets are easily spooked now a days?...They have become accustomed to terrific gains. Pity, the rest of the economy didn’t experience that same irrational exuberance?

No we just get the reductions, declining wages, hollowing out, lost pensions. “Flexibility” as Greenspan would term it, like were all yoga masters. How long will these two world’s diverge?

Economist Dr. Ravi Bata who has made a number of economic predictions some wrong, but others uncannily correct. (explaining international events years before they occurred). Contends, depressions occur when wealth becomes considerated into the hands of a few. That to have increased demand, labor needs to share in the profits from increased productivity.

Funny thing productivity? In the old economy….gains meant a higher standard of living….But that connection has been harder to make these last 30+ yrs.

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By Dennis D, February 27, 2007 at 7:41 pm Link to this comment
(Unregistered commenter)

What happened did they stop drinking the booming economy kool-aid on Wall St. for a day. “Booming economy” my ass - another bedtime fable from Bu$h Inc. finding it’s natural level.

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By Jackie T. Gabel, February 27, 2007 at 7:36 pm Link to this comment
(Unregistered commenter)

Could signal the beginning of the “free fall” of the dollar; another couple of hedge funds blow, followed by a run on the Fed - if it gets bad, look for the “launch on Iran.”

Sorry to say, there’s no silver lining here. Financiers pulled the plug on the US a decade ago, made off with the 4 Trillion Pentagon shortfall in the dark of night, just before 911, and now the spiral is picking up speed.  Hold your nose, here we go.

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By ib, February 27, 2007 at 7:32 pm Link to this comment
(Unregistered commenter)

Gee and China only sold 9% - what would happen if they sold 20% and continue to move their reserves to euro - oh my god

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