US Market Ends Down Sharply on Credit Worries

Stocks ended sharply lower on Thursday, erasing the previous session's gains, after brokerage downgrades of the two biggest U.S. banks sparked fears of more fallout from the credit crisis. It was the biggest daily percentage loss in the S&P 500 since August 9.

Citigroup felt the most since 2002 after CIBC World Markets said its dividend may be cut and Credit Suisse Group reduced its rating. Bank of America Corp. had its steepest decline in four years. Retailers fell, led by Target Corp., after consumer spending slowed more than economists forecast.

The Dow Jones industrial average fell 362.14 points, or 2.60 percent, to unofficially end at 13,567.87. The Standard & Poor's 500 Index was down 40.94 points, or 2.64 percent, to finish unofficially at 1,508.44. The Nasdaq Composite Index  was down 64.29 points, or 2.25 percent, to close unofficially at 2,794.83.

US Market Ends Down Sharply on Credit Worries, Reuters
11/1/2007 1:36:00 PM