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Stocks Extend Slide As Manufacturing Index Falls; Bond Insurers Fall Amid Fears of Losses NEW YORK (AP) -- Stocks skidded lower Thursday after a regional Federal Reserve report showed a sharp decline in manufacturing activity and as investors grew concerned that downgrades of key bond insurers could trigger further trouble with souring debt. ADVERTISEMENT Some of the major indexes were off more than 2 percent, including the Dow Jones industrial average, which at times fell more than 300 points. Stocks opened higher but quickly gave up their gains after the Philadelphia Federal Reserve said its survey of regional manufacturing activity...

WASHINGTON (AP) -- The economy snapped out of a lethargic spell and grew at a 3.4 percent pace in the second quarter, the strongest showing in more than a year. A revival in business spending was a main force behind the energized performance. The new reading on gross domestic product, released by the Commerce Department on Friday, marked a big improvement from the first three months of this year, when economic growth skidded to a near halt at just a 0.6 percent pace, the slowest in more than four years. Stronger spending by businesses and government powered the rebound in...