This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Credit Worries Wallop Stocks

"There's fear entering certain parts of the market, and we're seeing a risk adjustment taking place," said Paul Mendelsohn, chief investment strategist with Windham Financial. "This shift could be foreshadowing something bigger, as everyone could run for the door at the same time. Once markets start picking up momentum, they tend to keep moving because everyone's on the same side."

Virtually every sector finished with losses. Among the worst decliners, the Amex Oil Index dropped 3.5%, the Philadelphia Utility Index slumped 3.5%, the Nasdaq Financial Index fell 3%, and the KBW Bank Index lost 3%.

Apple (AAPL - Get Report), which will post earnings late Wednesday, contributed to the tech sector's slide amid speculation the iPhone maker will miss sales targets for the new gadget. Shares tumbled 6.1% to $134.89.

Trading curbs were put into effect on the New York Stock Exchange for the first time since March 13, when subprime fears surrounding New Century (NEWCQ) and Accredited Home Lenders (LEND) first became a force and sank the major averages.

About 3.91 billion shares changed hands on the NYSE, as decliners toppled advancers by a 9-to-1 margin. Volume on the Nasdaq reached 2.46 billion shares, with losers outpacing advancers 5 to 1.

Another setback came from General Motors (GM - Get Report), which, according to a report in The Wall Street Journal, is having trouble raising debt for its Allison engine unit. The division is trying to raise funds to complete a leveraged buyout. GM shed 47 cents, or 1.3%, to $34.65.

2 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $124.75 0.00%
DD $71.55 0.00%
EMC $26.61 0.00%
GM $36.64 0.00%
TXN $57.33 0.00%

Markets

DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs