Posted on 02/20/2009 3:12:50 PM PST by Libloather
US stocks dive on bank nationalisation fears
21 Feb 2009, 0342 hrs IST, AFP
NEW YORK: US stocks plunged on rumours of bank nationalisations, a day after falling to six-year lows.
The Dow Jones Industrial Average fell 98.45 points (1.32 per cent) to 7,367.50 at the closing bell after posting Thursday its lowest closing level since October 9, 2002.
The tech-dominated Nasdaq dropped 1.59 points (0.11 per cent) to 1,441.23 and the broad-market Standard and Poor's 500 index shed 8.79 points (1.13 per cent) to 770.15, according to preliminary closing figures.
Traders were concerned about rumours of the possible nationalisation of banks saddled with losses stemming from a home mortgage crisis that has triggered global turmoil.
Stocks recovered slightly after the White House moved to calm market fears, saying banks should remain under private control.
"This administration continues to strongly believe that a privately held banking system is the correct way to go," White House spokesman Robert Gibbs told reporters.
Weighing on investor sentiment "is the angst over the spectre of mega banks Citigroup and Bank of America possibly being nationalised in the foreseeable future," said Patrick O'Hare, Briefing.com.
"Whether that actually happens remains to be seen, but their stocks are acting as if it is a distinct possibility," he said.
Of course he is.
US stocks dive on bank nationalisation fears (Is Hussein talking down the economy?)
No...he’s TAKING down the economy.
That's the plan; make EVERYONE dependent on The Messiah and his communist Congress buddies.
Uh, yeah. Duh!
I read that as *taking*.
Yeah, he’s taking down the economy.
NPR is reporting Obama cause the rally at the end of the day.
no joke.
seriously, not even a laugh track.
NPR seriously beliefs that load of manure.
Hey Obozo, they voted Hope and Change not Doom and Gloom. What a baffoon.
Pray for America and Our Troops
I caught the same drift on local commercial radio during the news. Some rally. Another 1.3% down for the day on the DOW. Down 7% in the last 5 trading days!
All hail Porkulus! Destroyer of 401K's.
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