Wall Street saw a sharply lower open Friday, following a global sell-off as investors were worrying that central banks' coordinated interest rates cut failed to unfreeze the credit market.
There's a lot of fear and panic out there and it seems no one trades on fundamentals. The global sell-off forced stock exchanges in Austria, Russia and Indonesia to suspend trading, and major European markets tumbled more than seven percent.
Investors still continuously pulled back from equities.
Finance ministers and central bankers from the Group of Seven nations are expected to meet Friday. And rumors have it that governments may discuss ways to guarantee inter-bank lending.
In corporate news, General Electric Co., a bellwether for the U.S. economy, reported that its third-quarter profit sank 22 percent.
Wachovia rose in pre-market trading, as Citigroup Inc. walked away from its bid for the company. Wachovia will be acquired by Wells Fargo & Co.
General Motors said Friday that it was facing unprecedented challenges, but added that bankruptcy protection is not an option.
The Dow Jones fell 262.44 to 8,316.75. Broader indexes also tumbled. The Standard & Poor's 500 index dipped 24.56 to 885.36 and the Nasdaq fell 21.01 to 1,624.11.
Source: Xinhua
|
Comment
Tell A Friend
Print Format
Save Article