Impact of Global Market Turmoil Persists
As of 1 pm in New York, all three big indexes - the Dow Jones industrials average, the NASDAQ compositie and the S and P 500 continue to slump in negative territory.
Among the Dow components, 18 of the 20 components are in the red, with no news to push stocks into the red or the green. While telecom rivals Verizon and AT&T are the worst performers, Cheveron and Caterpillar seem to be the top gainers.
Adding to the bearish sentiment on Wall Street, Alcoa started the earnings season posting earnings of $0.44 a share, that was lower than what analysts expected. Meanwhile, Advanced Micro Devices said it will cut 10 percent of its manpower, and said it expects its first quarter revenue to tag $1.5 billion citing lower sales expectations across all its segments, reports Briefing.com.
Ailing financial firm, Washington Mutual said it will slash its quarterly dividend to $0.01 to raise $7 billion and shore up its balance sheets.
Also taking the stocks lower was news that February pending home sale were lower by 1.9 percent as opposed to the expected figure of 0.1 percent.
And last but not the least nugget of bad news to swerve the markets Tuesday, the International Monetary Fund calculated the total cost of the market trumoil due to the credit crisis at a whopping $945 billion. That compares to the current write-down of a mere $232 billion, reports Bloomberg. Indeed, we have not seen the end of the meltdown folks!
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Tags: Global Market Turmoil , Credit Crisis , Pending Home Sales , Stock Markets
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