It was a brutal day on Wall Street. The Dow closed at a 6-year low, down 100 points to finish at 7,365.67. A lot of people are asking: How low will it go? It’s anyone’s guess.
But there’s no guessing as it what caused today’s roller coaster ride. Stocks tumbled on worries over the economy and talk that the government might have to nationalize some of the biggest banks. Such a move would wipe out shareholder value, which is why you saw a lot of bank stocks taking hits today.
Dow components Bank of America, Citigroup , JPMorgan Chase and American Express all fell though out the afternoon. But by the close, all except Citigroup managed to cut losses.
Here’s what’s fueling the wild ride: Senate Banking Committee Chairman Chris Dodd, D-Conn., said that short-term takeovers of banks may be necessary. However, the White House is not in favor of such a move.
Do you think banks should be nationalized? We’d love to hear your thoughts.
Tonight, we’re also looking at how America’s mayors are trying to get a slice of the $787 billion stimulus plan. But several GOP mayors are vowing to refuse some of the funds for their states. Other GOP mayors who publicly opposed the plan now have no problem taking the cash now that the bill has been signed into law. We’ll have the raw politics.
Join us for these stories and more starting at 10pm ET.
Dow components Bank of America, Citigroup , JPMorgan Chase and American Express all fell though out the afternoon. But by the close, all except Citigroup managed to cut losses.
Here’s what’s fueling the wild ride: Senate Banking Committee Chairman Chris Dodd, D-Conn., said that short-term takeovers of banks may be necessary. However, the White House is not in favor of such a move.
Do you think banks should be nationalized? We’d love to hear your thoughts.
Tonight, we’re also looking at how America’s mayors are trying to get a slice of the $787 billion stimulus plan. But several GOP mayors are vowing to refuse some of the funds for their states. Other GOP mayors who publicly opposed the plan now have no problem taking the cash now that the bill has been signed into law. We’ll have the raw politics.
Join us for these stories and more starting at 10pm ET.
-Maureen Miller, AC360° Writer
