Crude Oil Hit a 20 Month Low closing down 5.3% to $56.16 & the Dow closed down 411 points 4.7% to 8282.66 Declining stocks far outnumbered advancing ones on the NYSE by a ratio of 12 to 1 and on Nasdaq a 7 to 1 ratio.
Google , Chevron , Exxon Mobil and Banking/Financial Stocks were all Hard Hit. Citigroup [C] fell below $10 for the first time in its history.
Paulson & the US Treasury abandoned its plan to buy up toxic mortgage assets and said it will focus its $700 billion financial bailout fund on making direct investments in financial institutions and shoring up consumer credit markets.
The Electronics Giant Best Buy lowered its outlook citing the worst financial climate in its 42 year history. CEO Brad Anderson said “Seismic changes in consumer behavior have created the most difficult climate we’ve ever seen. Best Buy simply can’t adjust fast enough to maintain our earnings momentum for this year.”
American Express shares fell even as it became the latest company to seek government assistance. [AXP] is asking for $3.5 Billion in Aid from the federal government after the company officially became a Bank Holding Company late Monday.