Posted on 03/30/2009 3:27:48 PM PDT by EagleUSA
NEW YORK – Wall Street's March rally is on hold after the White House rejected turnaround plans from General Motors Corp. and Chrysler and gave investors an economic reality check.
Major indexes fell about 3 percent Monday, including the Dow Jones industrial average, which lost about 254 points but finished well off its lows. Financial stocks weighed heavily on the market amid worries that banks will need fresh injections of capital.
Fears of an automaker bankruptcy have been looming over investors for months, and the latest developments, which included the removal of GM's CEO Rick Wagoner, made the market uneasy not only about the industry, but the overall economy. However, analysts said the pullback, which began with a 148-point drop in the Dow Friday, wasn't surprising after the average surged 21 percent over just 13 days.
"The market had a very significant rally off the lows," said David Katz, chief investment officer at Matrix Asset Advisors. "We think it's just taking a breather."
The Dow tumbled 254.16, or 3.3 percent, to 7,522.02. It was down as much as 339 points, so the market's ability to pull abve its lows on light trading volume could signal that investors aren't ready to give up on the rally.
(Excerpt) Read more at news.yahoo.com ...
South Park Explains the economy
http://www.freerepublic.com/focus/f-bloggers/2218094/posts
I love the softball terms - “tumble”, “low”, etc. Had this been the Bush administration overseeing a 50% drop in the market, they’d be using words like “death-drop”, “free-fall”, “abyssmal plummet”, etc.
Yo automakers,
dump the unions and you have a prayer.
Course you have the union monkey president in charge so hold out for a bigger bail out.
Or change the way you do business? Nahhhh
50%? It dropped 3.3%.
BTW, it’s back where it was when Obama took office.
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