Dow slides 237 to 12,743; “10 % reduction signals a correction.”

[CAwireman]

More downward direction on the Dow

“The Dow’s decline from its mid-October closing high is now 10.03 percent, putting the blue chip index past the 10 percent threshold that signifies a correction.”

http://money.aol.com/marketnews/article

Stocks Slide on Fresh Credit Concerns
11/26/07 18:08 EST
By TIM PARADIS

“NEW YORK (AP) – Wall Street sold off sharply Monday as concerns about a weakening credit market wiped out investors’ enthusiasm about strong retails sales over the holiday weekend. The Dow Jones industrial average fell nearly 240 points.

The Dow’s decline from its mid-October closing high is now 10.03 percent, putting the blue chip index past the 10 percent threshold that signifies a correction.

The swoon comes as investors were unnerved by another series of announcements that pointed to continuing problems in the credit markets, the result of home loan debt going bad under the weight of a faltering housing market.

Two banks had bad news: Citigroup Inc. warned it is looking to cut costs – raising the possibility of further job cuts – and HSBC Holdings PLC said it plans to bail out two funds it manages. To do so, Europe’s largest bank plans to move about $45 billion of the fund’s assets onto its balance sheet.

Comments from Sen. Charles Schumer, D-N.Y., a key member of Senate finance and banking committees, about the exposure that the Atlanta-based Federal Home Loan Bank might have to Countrywide Financial Corp.’s debt stirred concerns about further weakening in the banking sector.

Meanwhile, The New York Federal Reserve, acknowledging “heightened pressures” in money markets that are expected to last through the rest of the year, said it plans to conduct a series of repurchase agreements aimed at boosting liquidity in the credit markets. The announcement from the New York Fed, which carries out monetary policy set by the U.S. Federal Reserve, essentially puts in writing many of the steps the Fed often takes at this time of year.

The Fed said it would inject $8 billion into the banking system on Wednesday. The amount of money is somewhat larger than in past years at this time.

A better-than-expected report on retail sales wasn’t able to hold the market’s early gains. Retail sales on Friday and Saturday combined rose 7.2 percent to $16.4 billion from the same two-day period a year ago, according to ShopperTrak, which tracks total sales at more than 50,000 U.S. retail outlets. That’s helped ease investor concerns about consumer spending, which accounts for two-thirds of all economic activity.

“The early focus was on the consumer and the weekend sales but of course subprime always seems to pop its head up,” said Peter Cardillo, chief market economist at New York-based brokerage house Avalon Partners Inc., referring to loans made to borrowers with poor credit. Some of these loans are now souring, forcing banks to write off huge sums.”

Chart:
http://finance.aol.com/quotes/dow-jones-industrial-average-index/%24indu/dji/charts?dr=999

[HereWeGo]

Abu Dhubai to the rescue.

Well, for tomorrow at least. Will sovereign funds and other foreign players start gobbling US equities?

[HereWeGo]

Abu Dhubai to the rescue.

Well, for tomorrow at least. Will sovereign funds and other foreign players start gobbling US equities?

[HereWeGo]

Abu Dhubai to the rescue.

Well, for tomorrow at least. Will sovereign funds and other foreign players start gobbling US equities?

[HereWeGo]

Abu Dhubai to the rescue.

Well, for tomorrow at least. Will sovereign funds and other foreign players start gobbling US equities?

[HereWeGo]

Abu Dhubai to the rescue.

Well, for tomorrow at least. Will sovereign funds and other foreign players start gobbling US equities?

[patientlywaiting]

ADIA, the sovereign wealth fund of the government of Abu Dhabi, is buying equity units that convert into Citigroup shares at prices ranging from $31.83 to $37.24 per share, on dates ranging from March 15, 2010, to Sept. 15, 2011, the U.S. bank said. The units will pay 11 percent annual interest.

11% APR is a pretty good deal for the Emiratis.  

One of my friends went to work in Dubai.  Great job. I'm going to check out the city next year. 

[patientlywaiting]

ADIA, the sovereign wealth fund of the government of Abu Dhabi, is buying equity units that convert into Citigroup shares at prices ranging from $31.83 to $37.24 per share, on dates ranging from March 15, 2010, to Sept. 15, 2011, the U.S. bank said. The units will pay 11 percent annual interest.

11% APR is a pretty good deal for the Emiratis.  

One of my friends went to work in Dubai.  Great job. I'm going to check out the city next year. 

[patientlywaiting]

ADIA, the sovereign wealth fund of the government of Abu Dhabi, is buying equity units that convert into Citigroup shares at prices ranging from $31.83 to $37.24 per share, on dates ranging from March 15, 2010, to Sept. 15, 2011, the U.S. bank said. The units will pay 11 percent annual interest.

11% APR is a pretty good deal for the Emiratis.  

One of my friends went to work in Dubai.  Great job. I'm going to check out the city next year. 

[patientlywaiting]

ADIA, the sovereign wealth fund of the government of Abu Dhabi, is buying equity units that convert into Citigroup shares at prices ranging from $31.83 to $37.24 per share, on dates ranging from March 15, 2010, to Sept. 15, 2011, the U.S. bank said. The units will pay 11 percent annual interest.

11% APR is a pretty good deal for the Emiratis.  

One of my friends went to work in Dubai.  Great job. I'm going to check out the city next year. 

[patientlywaiting]

ADIA, the sovereign wealth fund of the government of Abu Dhabi, is buying equity units that convert into Citigroup shares at prices ranging from $31.83 to $37.24 per share, on dates ranging from March 15, 2010, to Sept. 15, 2011, the U.S. bank said. The units will pay 11 percent annual interest.

11% APR is a pretty good deal for the Emiratis.  

One of my friends went to work in Dubai.  Great job. I'm going to check out the city next year. 

[Arty]

I don’t know. 7.5 billion only at 11%? You can invest in hard money outfit and get more yield than that neverless a sinking company.

[Arty]

I don’t know. 7.5 billion only at 11%? You can invest in hard money outfit and get more yield than that neverless a sinking company.

[Arty]

I don’t know. 7.5 billion only at 11%? You can invest in hard money outfit and get more yield than that neverless a sinking company.

[Arty]

I don’t know. 7.5 billion only at 11%? You can invest in hard money outfit and get more yield than that neverless a sinking company.

[Author]

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