Dow falls nearly 400 on fears about economy

(AP) - Stocks have closed sharply lower after investors sold stocks with abandon, convinced that the U.S. and the world are headed for a new

NEW YORK - (AP) - Stocks have closed sharply lower after investors sold stocks with abandon, convinced that the U.S. and the world are headed for a new recession.

The Dow Jones industrial average fell as much as 527 points, thesecond consecutive rout since the Federal Reserve announced achange in strategy for fighting the economic slowdown.

At the close of trading, the Dow was down 391.01 points, or 3.5percent, at 10,733.83. The Standard & Poor's 500 index fell 37.18,or 3.2 percent, to 1,129.58. The Nasdaq composite fell 82.52, or3.3 percent, to 2,455.67.

Nineteen stocks fell for every one that rose. Trading volume washigh on the New York Stock Exchange, at 6.9 billion.

Oil and metals prices, which rely on economic demand, sank.Traders sought the safety of Treasury bonds.

Share on Facebook Tweet on Twitter

advertisement | advertise on News 12

Top 5 Must See

The third track would run between Floral Park 1 Public hearings being held on LIRR 3rd track project
A vendor who provides coin-operated air machines at 2 Vendor sues town over removing coin-operated air machines at gas stations
Police have identified the victim as Sumeet Singh, 3 Police: Victim in SSP stabbing dies from injuries
Joseph Pesepane is suing the police department along 4 Suspended Westhampton Beach police officer files $75M lawsuit
According to police, Joseph Monaco pried open the 5 Lynbrook man accused of breaking into gas station

advertisement | advertise on News 12

Features

Each week, News 12's Doug Geed explores the Check out fun things to do on the East End!

Explore the Twin Forks with News 12's Doug Geed.

Each week a different shelter visits News 12 Dog Day Fridays Series

Each week a different shelter visits News 12 Long Island with pets up for adoption.

News 12 digs deep to find Long Island's Discover Long Island's Hidden Past

News 12's Danielle Campbell digs into Long Island's roots.

News 12's Lily Stolzberg sees how much Long On The Spot

News 12's Lily Stolzberg sees how much Long Islanders know about everything and anything.

Sorry to interrupt...

Your first 5 are free

Access to News12 is free for Optimum, Comcast®, Time Warner® and Service Electric℠ video customers.

Please enjoy 5 complimentary views to articles, photos, and videos during the next 30 days.

LOGIN SUBSCRIBE